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Jon Keegan

Thomson Reuters victorious in first major AI copyright case in US

The first battle in the war between publishers and AI companies is over, and a big publisher has emerged victorious.

News and legal publisher Thomson Reuters has won its lawsuit in the US District Court of Delaware against AI startup and competitor Ross Intelligence.

The original complaint said that Thomson Reuters’ Westlaw legal research database was “illicitly and surreptitiously used... to acquire access to and copy Plaintiffs’ valuable content” to create Ross Intelligence’s AI-powered tool, an alleged violation of the publisher’s copyright.

In a summary judgment, the judge found that Ross Intelligence’s claim of the “fair use” doctrine did not pass all of the four tests. The judge emphasized that Ross Intelligence failed the “most important element of fair use” — the fact that it was using Thomson Reuters’ data to develop a competing product.

Circuit judge Stephanos Bibas wrote:

“Even taking all facts in favor of Ross, it meant to compete with Westlaw by developing a market substitute... It does not matter whether Thomson Reuters has used the data to train its own legal search tools; the effect on a potential market for AI training data is enough. Ross bears the burden of proof. It has not put forward enough facts to show that these markets do not exist and would not be affected.”

But the case may not apply to some of the biggest, thorniest issues with the biggest AI copyright lawsuits still working their way through the courts. Ross Intelligence’s tool was not using generative AI (like ChatGPT), which takes a user’s query and synthesizes answers derived from vast amounts of training data that often includes copyrighted material.

Major cases brought by authors, artists, and news publishers, such as The New York Times’ lawsuit against OpenAI and partner Microsoft, have yet to settle such alleged copyright violations, which could have massive implications for the entire AI industry.

The original complaint said that Thomson Reuters’ Westlaw legal research database was “illicitly and surreptitiously used... to acquire access to and copy Plaintiffs’ valuable content” to create Ross Intelligence’s AI-powered tool, an alleged violation of the publisher’s copyright.

In a summary judgment, the judge found that Ross Intelligence’s claim of the “fair use” doctrine did not pass all of the four tests. The judge emphasized that Ross Intelligence failed the “most important element of fair use” — the fact that it was using Thomson Reuters’ data to develop a competing product.

Circuit judge Stephanos Bibas wrote:

“Even taking all facts in favor of Ross, it meant to compete with Westlaw by developing a market substitute... It does not matter whether Thomson Reuters has used the data to train its own legal search tools; the effect on a potential market for AI training data is enough. Ross bears the burden of proof. It has not put forward enough facts to show that these markets do not exist and would not be affected.”

But the case may not apply to some of the biggest, thorniest issues with the biggest AI copyright lawsuits still working their way through the courts. Ross Intelligence’s tool was not using generative AI (like ChatGPT), which takes a user’s query and synthesizes answers derived from vast amounts of training data that often includes copyrighted material.

Major cases brought by authors, artists, and news publishers, such as The New York Times’ lawsuit against OpenAI and partner Microsoft, have yet to settle such alleged copyright violations, which could have massive implications for the entire AI industry.

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Trump administration recruiting a “US Tech Force” for two year stints in government

Months after the dismantling of DOGE, and shedding hundreds of thousands of federal workers, the Trump administration is looking to Big Tech for some expert help to “solve the federal government's most critical technological challenges.”

The “US Tech Force” is a program to recruit workers from some of the largest tech companies in the country. The deal: for two years, participating companies will supply qualifying workers to do a stint as a federal employee, working on AI, cybersecurity, and data analytics.

The federal government isn’t exactly known for paying the kinds of huge salaries that tech workers are used to, but the program will offer participants salaries between $150,000 and $200,000.

A long list of companies are listed as participants in the project, including Apple, Amazon, Microsoft, Nvidia, OpenAI, and Meta.

The website says that the the Tech Force will be non-partisan, and will be “focused exclusively on improving government technology capabilities.”

The “US Tech Force” is a program to recruit workers from some of the largest tech companies in the country. The deal: for two years, participating companies will supply qualifying workers to do a stint as a federal employee, working on AI, cybersecurity, and data analytics.

The federal government isn’t exactly known for paying the kinds of huge salaries that tech workers are used to, but the program will offer participants salaries between $150,000 and $200,000.

A long list of companies are listed as participants in the project, including Apple, Amazon, Microsoft, Nvidia, OpenAI, and Meta.

The website says that the the Tech Force will be non-partisan, and will be “focused exclusively on improving government technology capabilities.”

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Tesla jumps while Uber and Lyft dive, as Tesla tests Robotaxis without safety drivers

Over the weekend, Tesla began testing its driverless cars without safety monitors — a move that’s sent Tesla up and competitors Uber and Lyft down as investors view it as concrete momentum toward Tesla’s autonomous future.

Even Google, which owns current autonomous taxi leader Waymo, is down slightly in early trading, though it’s unclear if the Tesla news has anything to do with it. Waymo and Tesla are widely considered to be front-runners in the autonomous driving space.

Tesla bull Dan Ives, of course, expects Tesla to win, predicting it will command about 70% of the global autonomous market over the next decade.

Even Google, which owns current autonomous taxi leader Waymo, is down slightly in early trading, though it’s unclear if the Tesla news has anything to do with it. Waymo and Tesla are widely considered to be front-runners in the autonomous driving space.

Tesla bull Dan Ives, of course, expects Tesla to win, predicting it will command about 70% of the global autonomous market over the next decade.

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Nearly 20% of Meta’s Chinese ad revenue came from scams and other banned content: Report

Meta found that 19% of its $18 billion in ad sales in China last year came from ads for scams, illegal gambling, pornography, and other banned content, according a new report from Reuters that examined the company’s internal documents. The latest report comes on the heels of another Reuters investigation that found 10% of Meta’s global revenue last year came from such ads. Chinese advertisers represent a growing share of the company’s revenue.

To combat the situation, Meta created an anti-fraud team that briefly managed to cut back the rate of problematic ads, but after CEO Mark Zuckerberg weighed in, the group was disbanded. Fraud rates then returned to 16% of Meta’s China revenue by mid-2025.

The trove of documents, Reuters said, “reveals Meta’s efforts over that period to understand the scale of abuse on its platforms and the company’s reluctance to introduce fixes that could undermine its business and revenues.”

To combat the situation, Meta created an anti-fraud team that briefly managed to cut back the rate of problematic ads, but after CEO Mark Zuckerberg weighed in, the group was disbanded. Fraud rates then returned to 16% of Meta’s China revenue by mid-2025.

The trove of documents, Reuters said, “reveals Meta’s efforts over that period to understand the scale of abuse on its platforms and the company’s reluctance to introduce fixes that could undermine its business and revenues.”

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Dan Ives’ rosy predictions for Tesla

Wedbush Securities analyst and Tesla bull Dan Ives is excited for the company’s new year and next decade. To demonstrate, Ives, who says he “never viewed Tesla simply as a car company,” published a series of characteristically bold predictions today. Here’s what he thinks.

Autonomous expectations:

  • Aggressive Robotaxi expansion across the US next year, reaching 30-plus cities.

  • Volume production of Cybercabs beginning in April or May, with full-scale production of autonomous vehicles and robotics ramping later in the year.

  • Tesla will command about 70% of the global autonomous market over the next decade (a view that differs from Morgan Stanley’s).

  • Full Self-Driving penetration could rise above 50% (up from 12% now), which Ives said would “change the financial model/margins” for Tesla.

Regulatory regression:

  • Federal regulatory barriers around FSD/autonomous driving will ease significantly under President Trump, according to Ives.

  • He expects an executive order in early 2026 that would shift more authority to federal regulators and reduce state-level control over autonomous driving rules.

Financial predictions:

  • With a current ~$1.4 trillion market cap, Tesla could reach $2 trillion within the next year, with a bull case of $3 trillion by end of 2026.

  • Ives reiterated his $600 price target and outperform” rating.

  • In a bull case scenario, he sees Tesla, now around $465, at $800 within 12 to 18 months.

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