Reddit Sues Anthropic for Alleged Unauthorized Data Use

Ticker BuzzThursday, Jun 5, 2025 12:05 am ET
1min read

Reddit, the popular online forum known for its user-generated content, has filed a lawsuit against Anthropic, an AI startup, alleging that the company has misused user data to train its AI models without proper authorization. The lawsuit, filed in San Francisco, claims that Anthropic's unauthorized commercial use of Reddit's content has caused significant harm to the company.

Reddit's legal complaint asserts that Anthropic has disregarded the platform's rules and user agreements, freely accessing and utilizing content without consequence. "Anthropic does not care about Reddit's rules or its users: it believes it has the right to take whatever content it wants and use it however it pleases, without repercussions," the lawsuit states. Anthropic, in response, has denied Reddit's allegations and vowed to defend its position vigorously. The company has not provided further details on its defense strategy.

The lawsuit comes at a time when generative AI has gained significant traction, particularly since the launch of OpenAI's ChatGPT at the end of 2022. Reddit, with its vast repository of user-generated content spanning over 20 years, has been a primary source for training large AI models, including Anthropic's Claude. Reddit has previously established partnerships with major AI companies, including OpenAI and Google, allowing them to use its content for training their models. These agreements include strict terms to protect user privacy and ensure compliance with Reddit's rules. OpenAI's CEO, Sam Altman, who was once a member of Reddit's board and a major shareholder, holds stock valued at over 100 million dollars.

Reddit's lawsuit against Anthropic aims to seek compensation and enforce contractual and legal obligations. The company emphasizes that its user agreements clearly outline the rules for data usage, which Anthropic has allegedly violated. Reddit's legal action underscores the growing importance of data governance and user privacy in the rapidly evolving AI landscape. The lawsuit highlights the need for companies to respect user agreements and data usage policies, as well as the potential legal consequences of violating these terms. As AI technology continues to advance, it is crucial for companies to prioritize ethical data practices and ensure that user data is used responsibly and transparently.