Perplexity AI Loses Bid to Dismiss News Corp's Copyright Lawsuit

August 21, 2025

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A New York federal court has denied Perplexity AI's motion to dismiss or transfer a copyright lawsuit filed by News Corp's Dow Jones and the New York Post, accusing the AI startup of improperly using their articles to train its AI systems. The case will proceed in the U.S. District Court for the Southern District of New York.

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Perplexity AI Faces Legal Hurdles in Copyright Case

- Perplexity AI's attempt to dismiss or transfer a copyright lawsuit filed by News Corp's Dow Jones and the New York Post has been denied by a New York federal court. The publishers allege that Perplexity's AI "answer engine" uses their proprietary content without authorization, threatening their audience and revenue.

- U.S. District Judge Katherine Failla ruled that Perplexity did not prove the court lacked jurisdiction or that the case should be moved to California, emphasizing the company's business and customer base in New York. This decision underscores the growing legal challenges AI companies face regarding the use of copyrighted materials.

- Perplexity contends that its system uses publicly available factual information not protected by copyright, but the court's decision allows the lawsuit to proceed, potentially setting a precedent for how AI companies handle copyrighted content.

Source: [Reuters](https://www.reuters.com/legal/litigation/perplexity-ai-loses-bid-dismiss-or-transfer-news-corp-copyright-case-2025-08-21/)

Source: reuters.com