NYT Sues Perplexity AI for Using Journalism to Fuel AI

• NYT sues Perplexity AI for allegedly using its journalism without permission.
• The lawsuit claims Perplexity scraped millions of Times articles, including paywalled content, to fuel its generative AI tools.
• NYT alleges Perplexity's AI produced fabricated information ("hallucinations") attributed to the newspaper.
• The Times seeks damages and a court order to stop the misuse of its intellectual property.
• Perplexity denies the claims, stating it indexes publicly available webpages and provides citations, calling the lawsuits an attempt to slow innovation.

Why It Matters: This lawsuit shapes AI's legal use of copyrighted journalism.