Anthropic agrees to $1.5B payout over pirated books

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Sep 2025

Anthropic accepted a $1.5 billion settlement with authors who said the Claude team scraped pirate e-book sites to train its chatbot. The deal pays roughly $3,000 per book across 500,000 works, heads off a December trial, and forces one of the richest AI startups to bankroll the writing community it previously treated as free training data.

Incident Details

Perpetrator:AI Vendor
Severity:Catastrophic
Blast Radius:Record copyright settlement drains cash, sets precedent for other AI labs, and fuels public distrust of Anthropic’s data practices.