Due to popular demand, I am expanding this newsletter series to cover both AI and Privacy. I offer services in AI, Privacy, and IP. For more details, please visit lklawfirm.net/services.
Content for this Newsletter:
1. Data Privacy Insights: My Bloomberg Law Publication
2. Navigating AI Governance in 2025: Trump, State Laws, and Insights from Our Webinar
3. Anthropic’s Settlement with Music Publishers
4. Elon Musk’s Lawsuit against OpenAI
5. Apple Privacy Lawsuit
- Data Privacy Insights: My Bloomberg Law Publication
Bloomberg just published my article on data privacy. The data privacy storm is brewing, with rising government enforcement actions and the growing impact of artificial intelligence. As 2025 ushers in new data privacy laws in eight more states, businesses nationwide will be affected if they meet certain thresholds, regardless of their location.
Faced with an increasingly complex regulatory landscape, companies need to reexamine their data privacy frameworks to mitigate the risk of potential class actions and government enforcement. Here’s the link to the article: https://lklawfirm.net/new-state-privacy-law-ai-ftc-attorney-general/
🚀 Don’t get caught off guard! Build a privacy framework that can weather this storm. If you have questions about these challenges, feel free to reach out to me to discuss how I can help.
2. Navigating AI Governance in 2025: Trump, State Laws, and Insights from Our Webinar
🔴 As we move into 2025, despite potential shifts in federal AI policy under the incoming Trump administration, companies cannot afford to take their focus off robust AI governance. Here’s why it should remain a top priority:
📜 Several states have passed AI-related regulations, including Colorado, California, Tennessee, Utah, New Hampshire, and Illinois. State-level AI regulations are likely to continue evolving, creating a complex compliance landscape.
🌍 The EU AI Act and other international regulations may impact businesses that provide AI products or services to those markets, regardless of U.S. federal policy changes.
⚖️ Failing to govern AI responsibly could lead to class action lawsuits, a loss of customer trust, and significant damage to your brand..
Therefore, it’s important to adopt a proactive AI governance framework. Don’t wait for regulations to catch up. Investing in scalable AI governance now will save costs, prevent lawsuits and government investigations or fines, and position your organization for long-term success in the AI-driven future.
Here’s the link to the recording of my co-presentation with Dorothy Du, Motorola’s Global Head of Legal: https://youtu.be/X3eji0uYERY?t=0 Please feel free to reach out if your organization needs assistance in establishing an AI governance framework.
3. Anthropic’s Settlement with Music Publishers
Anthropic, an AI company, has reached a partial agreement with music publishers, including Universal Music, regarding its AI chatbot, Claude. This follows a lawsuit alleging that Claude was trained on copyrighted song lyrics from artists like Beyoncé and the Rolling Stones.
The music publishers claim that Anthropic unlawfully used copyrighted material to train Claude and that Claude can reproduce these lyrics when prompted. Anthropic denies these allegations, stating they already had safeguards in place to prevent copyright infringement.
The agreement requires Anthropic to maintain and extend these safeguards to prevent Claude from generating copyrighted song lyrics in current and future models. While this agreement addresses a portion of the lawsuit, the legal battle continues. This case highlights the ongoing legal challenges surrounding the use of copyrighted material in the development of AI systems.
4. Elon Musk’s Lawsuit against OpenAI
Delaware Attorney General Kathy Jennings has entered the fray, stating that she is in communication with OpenAI regarding their plans and will intervene if any legal violations are found. This is particularly significant since OpenAI is incorporated in Delaware, and the state’s involvement could have serious legal ramifications.
The legal battle pits Elon Musk against OpenAI, the creator of ChatGPT. Musk alleges that OpenAI unfairly blocked investors from supporting rival AI companies, including his own. He also claims that OpenAI, initially founded as a non-profit, is now prioritizing profits and violating its original mission. OpenAI denies restricting investments in competitors.
Musk seeks to prevent OpenAI from restructuring and enforce its original non-profit mandate. Several tech investors, including those backing Musk’s ventures, support his claims. A tech advocacy organization, backed by prominent AI researchers, also aligns with Musk’s position.
Musk expanded the scope of his legal challenge by adding new claims that OpenAI and Microsoft collaborated in ways that allegedly hindered fair competition in the AI industry. Microsoft has denied these accusations in court filings.
The involvement of government regulators and the potential influence of Musk’s political connections adds further complexity to the case. This legal battle has significant implications for the future of AI development, raising questions about competition, innovation, and the role of non-profits in the tech industry.
5. Apple Privacy Lawsuit
Apple has agreed to pay $95 million to settle a lawsuit alleging that its Siri voice assistant secretly recorded users’ private conversations. The lawsuit claimed that Siri was unintentionally activated by “hot words” like “Hey, Siri,” leading to unauthorized recordings. These recordings were allegedly used to personalize ads for users, such as ads for products or services they had discussed privately.
The settlement covers millions of users who owned Siri-enabled devices during a specific period, with eligible users potentially receiving up to $20 per device. While Apple denies any wrongdoing, it agreed to settle. A similar lawsuit against Google’s Voice Assistant is pending in the same court. This settlement underscores growing concerns about user privacy and the potential for unintended data collection by voice assistants.
Please feel free to reach out if you need assistance with AI, tech, privacy, or IP matters. Learn more about my services and client testimonials at www.lklawfirm.net.
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