Reddit Takes Amazon-Backed Anthropic to Court, Claims AI Startup Scraped Site 100,000 Times After Ban

Reddit Takes Legal Action Against Anthropic Over Data Use

Reddit has launched a lawsuit against the AI startup Anthropic, accusing the company of using millions of user comments without permission to train its Claude chatbot.

The suit claims Anthropic scraped data from Reddit’s platform despite being told to stop, violating user agreements and failing to compensate the social media site.

Source: The Verge

What Data Did Anthropic Use and How Was It Accessed?

According to the complaint filed in a California court, Anthropic has been mining Reddit’s content since December 2021.

Despite publicly stating it had blocked bots from accessing Reddit, the startup’s automated systems reportedly made over 100,000 attempts to collect data after that point.

The company’s CEO, Dario Amodei, even co-authored research identifying high-quality Reddit posts as ideal for training AI models.

The lawsuit highlights a contradiction in Anthropic’s conduct: while presenting itself as a responsible and ethical AI developer, it allegedly ignored legal boundaries to acquire valuable user content.

The complaint reads,

“This case is about the two faces of Anthropic: the public face that attempts to ingratiate itself [...] and the private face that ignores any rules.”

Source: The Verge

Why Is Reddit Concerned About Data Use?

Reddit’s vast network of over 100,000 subreddits and millions of daily active users creates a rich source of conversational data.

This makes the platform particularly valuable for AI companies aiming to improve their language models.

Reddit has signed licensing deals with major players like OpenAI and Google, ensuring those firms pay for the right to use Reddit content under terms protecting user privacy.

In a statement, Ben Lee, Reddit’s chief legal officer, said,

“AI companies should not be allowed to scrape information and content from people without clear limitations on how they can use that data.”

He stressed that Reddit values an open internet but opposes its exploitation for profit without consent or compensation.

How Does Anthropic Respond to the Lawsuit?

Anthropic, backed by Amazon and valued at over US$61 billion, has rejected Reddit’s allegations.

In a statement to AFP, the company said,

“We disagree with Reddit’s claims and will defend ourselves vigorously.”

Known for focusing on AI safety and responsible development, Anthropic recently released its latest model, Claude Opus 4, which has gained positive feedback within the AI community.

The Wider Clash Between Content Creators and AI Firms

This legal dispute is part of a wider conflict involving content creators and AI companies over the use of data without permission.

Authors, artists, musicians, and news organisations have increasingly taken legal action against AI firms accused of using their work without consent or compensation.

Among the growing number of cases, Anthropic is facing multiple lawsuits from creative industries.

In one case, a group of authors filed a class-action lawsuit in California, accusing the company of building its business by copying vast numbers of copyrighted books.

In another, Universal Music took legal action in Tennessee, claiming Anthropic had engaged in large-scale unauthorised use of song lyrics to train its AI models.

While AI developers argue that training on such content qualifies as fair use and supports innovation, these legal challenges raise pressing questions about data ownership, intellectual property, and compensation.

The outcomes of these cases could play a major role in shaping the future rules governing how AI systems are trained and how creative rights are protected.

How Has Reddit’s Stock Reacted?

Following the announcement of the lawsuit, Reddit’s shares rose by 6.6 per cent, reflecting investor confidence in the company’s stance on protecting its content and securing licensing revenue.

Reddit went public in 2024, with licensing deals from major AI firms boosting its market value.

The outcome of this lawsuit could have significant consequences not only for Reddit and Anthropic but also for the future of AI development and the rights of content providers in the digital age.