Apple Inc. AAPL is reportedly in discussions with several news and publishing firms, aiming to license their content to boost its generative artificial intelligence or AI systems.
What Happened: The tech behemoth has suggested multi-year deals worth at least $50 million to use publishers’ news articles to train its generative AI systems, reported The New York Times, citing four people familiar with the matter.
The negotiations with major publishers like Condé Nast, NBC News, and IAC represent Apple’s initial efforts to keep pace with its competitors in the generative AI race.
Generative AI, or neural networks, enables computers to generate images and chat like humans by recognizing patterns in abundant photos or digital texts.
Tech giants such as Microsoft Corporation, ChatGPT-parent OpenAI, Alphabet Inc.’s Google, and Meta Platforms have already introduced products harnessing this technology.
The response from publishers to Apple’s AI venture has been varied. While some executives are apprehensive about wide licensing terms and possible legal liabilities, others are hopeful about potential meaningful collaborations, the report noted.
Why It Matters: The aforementioned report indicates a growing trend in the industry of tech firms collaborating with news publishers to advance their AI capabilities.
Earlier this month, it was reported that OpenAI and German publisher Axel Springer had also struck a deal according to which the AI developer will pay millions of euros to use news content from Springer-owned publications for training its AI models.
However, these developments come against the backdrop of concerns raised by the News Media Alliance, a trade association that has criticized the aggressive use of its members’ copyrighted works by generative AI systems.
The proposed licensing deals could address these concerns by providing a legal framework for using news content in AI training.
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This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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