Unsealed Filings Show Microsoft Executive Called AI Data Scraping 'Largest Theft of Labor in Human History'

Newly unsealed court filings show that a Microsoft executive privately characterized artificial intelligence data scraping as "the largest theft of labor in human history," according to a report by TechCrunch published Wednesday.

The unredacted documents, part of ongoing litigation, indicate that Microsoft internally referred to OpenAI's data collection practices as "theft" even as both companies were scraping paywalled content from The New York Times, TechCrunch reported.

According to the filings cited by TechCrunch, Microsoft and OpenAI used the scraped Times material to build datasets for training artificial intelligence systems. Internal communications reviewed as part of the unsealed records reportedly show employees at Microsoft warning that such practices could severely harm news publishers.

TechCrunch's report does not specify the identity of the Microsoft executive quoted, nor does it provide additional detail on the timing or origin of the internal remarks beyond their disclosure in the newly unredacted court filings.

The disclosures add to a broader legal and public debate over how AI companies obtain and use copyrighted material, particularly journalism, to train large language models. Publishers including The New York Times have pursued legal action against AI developers, arguing that unauthorized use of their content for AI training constitutes copyright infringement.

Microsoft and OpenAI have not been quoted directly in the TechCrunch report responding to the newly unsealed material. TechCrunch's account is based on the unredacted filings themselves, which the outlet reviewed as part of its coverage of the litigation.