Microsoft exec called AI scraping ‘the largest theft of labor in human history,' new unredacted filings reveal
Microsoft is offering buyouts to approximately 60,000 workers, about a quarter of its total staff, as it invests heavily in AI and trims costs. The move is part of the company's efforts to retool its workforce. This comes amid lawsuits alleging intellectual property theft to build AI models.
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- ✓ Microsoft plans to offer buyouts to about 60,000 workers.
- ✓ The buyouts amount to just over a quarter of Microsoft's total staff.
- ✓ Microsoft is spending hundreds of billions of dollars on AI data centers and chips.
What changed
Microsoft's plan to offer buyouts to 60,000 workers was revealed, showing the company's significant investment in AI and workforce restructuring.
Live updates
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Microsoft offers buyouts to 60,000 workers amid AI investment
Microsoft is offering buyouts to approximately 60,000 workers, about a quarter of its total staff, as it invests heavily in AI and trims costs. The move is part of the company's efforts to retool its workforce. This comes amid lawsuits alleging intellectual property theft to build AI models.
Why it matters
The buyouts are a significant development in Microsoft's efforts to prioritize AI investment. The company has been involved in a web scraping project for OpenAI and has faced accusations of visa fraud and H-1B abuse. Lawsuits from authors, musicians, and news organizations have alleged intellectual property theft to build AI models.
What is confirmed
- Microsoft plans to offer buyouts to about 60,000 workers.
- The buyouts amount to just over a quarter of Microsoft's total staff.
- Microsoft is spending hundreds of billions of dollars on AI data centers and chips.
What to watch next
- Microsoft's AI investment and workforce restructuring progress
- Outcome of lawsuits alleging intellectual property theft
- Details on Microsoft's web scraping project for OpenAI
confidence 95%Sources used for this update (4)
- www.ign.com — Microsoft Offer Buyouts to 60,000 Workers as It Doubles Down on AI Investment
- www.nbcnews.com — Microsoft offers buyouts to around 60,000 employees - NBC News
- www.cbsnews.com — Microsoft offers buyouts to 60,000 workers as it pours money ...
- finance.yahoo.com — Microsoft is the Latest Company to Reduce its Workforce Over ...
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Microsoft exec calls AI scraping 'largest theft of labor in human history'
Unredacted filings reveal a Microsoft executive described AI scraping as 'the largest theft of labor in human history.' This comes amid lawsuits from authors, musicians, and news organizations alleging intellectual property theft to build AI models. Microsoft has been involved in a web scraping project for OpenAI, and has faced accusations of visa fraud and H-1B abuse.
Why it matters
The tech industry is facing increased scrutiny over its use of AI and data scraping. Microsoft has been at the center of this controversy, with recent filings revealing its involvement in a web scraping project for OpenAI. The company has also faced allegations of visa fraud and H-1B abuse, and has made significant layoffs in recent years.
What is confirmed
- Microsoft directed staff to classify a web scraping project for OpenAI known as Project Mango.
- OpenAI paid Microsoft to harvest over 160,000 publisher works to train GPT-4o.
- Microsoft has faced accusations of visa fraud and H-1B abuse.
- The company has made significant layoffs in recent years, including over 9,000 employees on July 2, 2025.
Still unconfirmed
- Microsoft has been suspended from the US green card program for H-1B workers.
What to watch next
- Further developments in the lawsuits against Microsoft and other tech companies
- Investigations into Microsoft's visa practices
- Updates on Microsoft's use of AI and data scraping
confidence 90%Sources used for this update (5)
- www.business-humanrights.org — China: Over 100 global brands linked to factories using ...
- spectrumlocalnews.com — Trump administration suspends Microsoft from green card program, alleging visa fraud
- www.wionews.com — US suspends Microsoft, Infosys, Tata, Wipro others from green ...
- www.commercial-news.com — KOLBE COLUMN: Newspapers under attack in the largest theft of ...
- thenationalpulse.com — Microsoft Cuts 4,800 Jobs While Continuing to Hire H-1B ...
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Microsoft ordered secrecy for OpenAI web scraping Project Mango
Court documents unsealed October 16 reveal Microsoft directed staff to classify a web scraping project for OpenAI known as Project Mango. This operation involved a financial arrangement where OpenAI paid Microsoft to harvest over 160,000 publisher works to train GPT-4o. The revelations emerge as tech companies face nearly 100 lawsuits from authors, musicians, and news organizations alleging the theft of intellectual property to build AI models. Simultaneously, Microsoft has shifted toward generative AI, resulting in the termination of more than 9,000 employees on July 2, 2025.
Why it matters
The conflict centers on whether AI training constitutes legal data usage or large-scale labor theft. This legal pressure coincides with industry-wide layoffs as firms replace human staff with AI agents. Meta is further complicating the environment by removing opt-out mechanisms for news harvesting starting October 30.
What is confirmed
- Microsoft ordered employees to keep the web scraping project for OpenAI classified.
- The operation, known as Project Mango, copied more than 160,000 publisher works to train GPT-4o.
- Microsoft and Xbox terminated more than 9,000 employees on July 2, 2025, to shift toward generative AI.
- Nearly 100 lawsuits allege tech companies stole work from musicians, authors, and news organizations for AI training.
What to watch next
- Meta's implementation of new business terms on October 30
- Further unredacted filings regarding the specific payment amounts between OpenAI and Microsoft
confidence 90%Sources used for this update (6)
- outrungaming.com — Microsoft CEO addresses layoffs in new memo
- www.gate.com — Microsoft Told Employees to Classify OpenAI Data Scraping ...
- www.theepochtimes.com — Is AI Built on Theft? Almost 100 Lawsuits Say So.
- gmt8press.com — Microsoft Told Employees to Label OpenAI Scraping Project ...
- www.newsweek.com — AI Is Replacing Workers. Leaders Are Making It Worse ...
- www.businessinsider.com — Tech Companies Want Workplace Data to Teach AI How Humans ...
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Unsealed Filings Reveal Secret OpenAI News Crawler Funded by Microsoft
Unsealed court documents from October 16, 2026, show OpenAI paid Microsoft to operate a secret news crawler to train GPT-4o. The operation copied more than 160,000 publisher works. This follows internal warnings from Microsoft and OpenAI staff regarding intellectual property theft during AI training. While the specific payment amounts and exact page counts remain sealed, the filings confirm a financial arrangement to harvest journalistic content. Separately, Meta is updating business terms effective October 30 to allow similar news harvesting without an opt-out mechanism.
Why it matters
The dispute focuses on whether using proprietary news for generative AI constitutes fair use or infringement. These revelations suggest companies knowingly bypassed traditional licensing. Such practices threaten the financial viability of media organizations.
What is confirmed
- OpenAI paid Microsoft to run a secret news crawler to train GPT-4o.
- The crawler copied more than 160,000 publisher works.
- Microsoft and OpenAI employees issued warnings about intellectual property theft used for AI training.
Still unconfirmed
- Meta's rewritten business terms effective October 30 will authorize news site harvesting with no opt-out.
What to watch next
- Unsealing of the payment amounts and specific page counts for the news crawler
- Court rulings on whether the secret crawler constitutes unlawful infringement
confidence 90%Sources used for this update (2)
- www.forgenex.com — Microsoft knew about data theft for AI, according to lawsuit
- theinference.org — OpenAI paid Microsoft to scrape news in secret. Meta's fine ...
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Microsoft Executive Called AI Scraping Largest Labor Theft
Internal Microsoft documents reveal that an application science director characterized artificial intelligence model training as the greatest labor theft in human history. Newly unredacted court filings show that Microsoft executives and employees debated intellectual property theft and data sourcing for years while harvesting web data. This ongoing dispute centers on whether utilizing journalistic content and proprietary news reporting for generative artificial intelligence development constitutes fair use or unlawful infringement. The revelations intensify scrutiny over data harvesting practices and threaten the economic stability of the media industry.
Why it matters
The disclosure surfaces from a copyright lawsuit involving Microsoft, OpenAI, and The New York Times. Critics argue that scraping proprietary information creates a parasitic dynamic that endangers media publishers. Internal communications demonstrate that tech employees recognized the intellectual property concerns years ago.
What is confirmed
- Brent Hecht, Microsoft's Application Science Director, referred to AI model training as 'the greatest labor theft in human history' in internal documents.
- Internal documents show Microsoft executives and employees sounded the alarm about intellectual property theft for years.
- The ongoing legal dispute involves Microsoft, OpenAI, and The New York Times.
Still unconfirmed
- Microsoft knows it robbed publishers to train artificial intelligence and simply does not care.
What to watch next
- Additional unredacted court filings from the copyright lawsuit
- Further legal responses from Microsoft and OpenAI regarding internal document disclosures
confidence 100%Sources used for this update (4)
- www.ababnews.com — Microsoft Application Science Director Calls AI Model ...
- phemex.com — Microsoft Exec: AI Training Is Largest Theft of Labor in His ...
- www.computerworld.com — Microsoft knows it robbed publishers to train AI. It just doesn’t care
- agihunt.info — Microsoft exec calls AI training 'largest labor… · AGI Hunt
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Microsoft Executive Calls AI Scraping Labor Theft in Filings
Newly unredacted court filings from a three-year-old copyright lawsuit reveal a Microsoft applied science director characterized artificial intelligence data harvesting as the largest theft of labor in human history. The ongoing legal dispute involves Microsoft, OpenAI, and The New York Times, focusing on whether training AI models on journalistic content constitutes fair use or unlawful copyright infringement. Evidence suggests harvesting proprietary news reporting creates a parasitic relationship that threatens the economic survival of the media industry.
Why it matters
The litigation targets the core mechanisms used by major technology firms to build advanced artificial intelligence systems without publisher authorization or compensation. Microsoft operates as an American multinational technology corporation headquartered in Redmond, Washington, with significant ventures in cloud computing and artificial intelligence. The case underscores broader industry tensions over intellectual property rights and data collection practices as tech companies scale their model training operations.
What is confirmed
- A Microsoft applied science director characterized AI scraping as the largest theft of labor in human history, according to unredacted court documents from a three-year-old copyright lawsuit.
- The legal battle involves The New York Times, OpenAI, and Microsoft.
- Microsoft Corporation is an American multinational technology company headquartered in Redmond, Washington, that has expanded into artificial intelligence and cloud computing.
What to watch next
- Court rulings on whether AI data harvesting qualifies as fair use or unlawful infringement
- Further disclosures from unsealed documents regarding Microsoft and OpenAI training practices
confidence 95%Sources used for this update (5)
- account.microsoft.com — Microsoft account | Sign In or Create Your Account Today ...
- en.wikipedia.org — Microsoft - Wikipedia
- support.microsoft.com — Sign in to Microsoft 365
- support.microsoft.com — Download and install or reinstall Office 2021, Office 2019, or ...
- apps.microsoft.com — Microsoft Store - Download apps, games & more for your Windows PC
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Microsoft Exec Called AI Scraping Labor Theft in Unsealed Files
Unsealed court documents from a copyright lawsuit filed three years ago reveal that a Microsoft applied science director characterized AI scraping as the largest theft of labor in human history. The ongoing legal battle involves The New York Times, OpenAI, and Microsoft, highlighting tensions over how artificial intelligence models are trained using journalistic content. Evidence indicates that harvesting proprietary reporting threatens the economic viability of the media industry by creating a parasitic relationship. The litigation centers on whether data collection constitutes fair use or unlawful infringement against publishers.
Why it matters
The copyright lawsuit exposes a stark contradiction between internal corporate admissions and public defenses regarding data harvesting. While tech companies officially maintain that training large language models on existing reporting falls under fair use, internal memos describe the practice in severe ethical terms. This dispute carries profound implications for the future of professional journalism as media outlets fight to protect their economic models from automated extraction.
What is confirmed
- Unredacted court documents from a copyright lawsuit filed three years ago show that a Microsoft applied science director described AI scraping as the largest theft of labor in human history.
- The legal battle involves The New York Times, OpenAI, and Microsoft over the training of artificial intelligence models using journalistic content.
Still unconfirmed
- The systematic harvesting of journalistic content could lead to the collapse of professional journalism by creating a parasitic relationship between AI companies and the media industry.
What to watch next
- A summary judgment decision in the ongoing lawsuit between The New York Times, OpenAI, and Microsoft.
- Further disclosures from unsealed court documents regarding internal tech industry debates on AI training.
confidence 100%Sources used for this update (6)
- arstechnica.com — Tag: openai - Ars Technica
- www.savannahbusinessjournal.com — Oct. 5 – Will OpenAI and Microsoft be able to steal original ...
- tdwnfeeds.blogspot.com — The Ethics of AI Scraping: A Legal Battle Over Digital Theft
- www.comicbasics.com — Justin Baldoni Called a ‘Moron’ by Studio Exec After Creepy ...
- www.businessinsider.com — BCG Exec Shares 2 AI Habits That Can Weaken Critical Thinking ...
- investorshealth.com — Microsoft AI Exec: “Largest Theft of Labor in Human History ...
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Microsoft executive labeled AI scraping theft of labor in unsealed files
Unredacted court filings from a New York Times lawsuit against OpenAI and Microsoft reveal a January 2023 internal memo from Microsoft applied science director Brent Hecht. Hecht described AI scraping as the largest theft of labor in human history, a statement that conflicts with the companies public claims that data collection constitutes fair use. The legal battle persists as the parties await a summary judgment decision, while the Department of Justice has intervened to support the AI developers.
Why it matters
The case centers on whether AI training on copyrighted materials violates intellectual property laws. This internal admission suggests Microsoft leadership recognized labor exploitation despite their legal defense. The outcome will likely set a precedent for how AI companies compensate content creators.
What is confirmed
- Microsoft applied science director Brent Hecht wrote an internal memo in January 2023 calling AI scraping the largest theft of labor in human history.
- The New York Times is pursuing a copyright lawsuit against OpenAI and Microsoft.
- The Department of Justice has intervened in the NYT v. OpenAI case to support the technology companies.
Still unconfirmed
- The Stealth Bot Prohibition Act would fine AI crawlers that hide their identity up to $53,000 per violation.
- Former UK Music CEO Jamie Njoku-Goodwin is proposing a plan for the music industry to fight unauthorized AI music usage.
What to watch next
- The court's summary judgment decision in the NYT v. OpenAI case
- Congressional action on the Stealth Bot Prohibition Act
confidence 90%Sources used for this update (3)
- dev.to — OpenAI hack by Claude, ZCode's git upload: week 38 in tech ...
- thenextweb.com — 300 publishers take their fight against AI stealth bots to ...
- variety.com — AI Companies Are Raising Millions From Music Taken Without ...
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Microsoft Memo Calls AI Data Scraping Labor Theft
Newly unsealed court filings reveal a January 2023 internal memo by Microsoft applied science director Brent Hecht describing artificial intelligence scraping as the largest theft of labor in human history. This admission directly contradicts the public defense of data collection as fair use maintained by Microsoft and OpenAI. The disclosure intensifies the high-profile copyright lawsuit brought by the New York Times against OpenAI and Microsoft. The case currently awaits a summary judgment decision, complicated by an unusual Department of Justice intervention supporting the technology companies.
Why it matters
The unsealed document exposes a major internal rift between private acknowledgments and public legal strategies regarding copyright enforcement in the artificial intelligence sector. Authors and publishers continue to mount aggressive legal challenges against major tech firms over unauthorized creative work usage for model training. Meanwhile, the legal proceedings approach a crucial turning point as judges weigh arguments on fair use doctrines.
What is confirmed
- Brent Hecht, a Microsoft director of applied science, wrote a January 2023 internal memo characterizing AI training data scraping as the largest theft of labor in human history.
- The internal memo surfaced through newly unsealed court documents tied to copyright litigation involving the New York Times and OpenAI.
Still unconfirmed
- The Justice Department's unusual intervention will sway the upcoming summary judgment ruling in favor of the technology companies.
What to watch next
- A summary judgment ruling in the copyright lawsuit involving the New York Times, OpenAI, and Microsoft.
- Further judicial responses to the Department of Justice intervention on the side of the technology companies.
confidence 100%Sources used for this update (4)
- journalismcentral.com — Unsealed Filing Shows Microsoft Executive Called AI Scraping ...
- dev.to — OpenAI lawsuit: Microsoft's 'theft of labor' memo in the NYT ...
- www.aimodeling.com — 法庭文件揭微软高管私下定性 AI 抓取为最大盗窃 - AILog
- taraherman1.substack.com — Weekly AI Legal and Nonprofit News Brief — September 21–27, 2026
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Microsoft Exec Called AI Scraping Largest Labor Theft
Newly unsealed court documents from an Authors Guild copyright lawsuit reveal that Brent Hecht, a Microsoft director of applied science, privately characterized the artificial intelligence industry training data collection as the largest theft of labor in human history. This internal admission starkly contrasts with the public positions maintained by Microsoft and OpenAI, which routinely defend data scraping practices as fair use under copyright law. The disclosures surface amidst ongoing legal battles brought by authors and publishers against major technology firms regarding unauthorized use of creative works.
Why it matters
The unsealed filings expose a deep contrast between the private concerns of technology executives and their public legal stances. While companies defend their scraping methods as fair use, internal communications show awareness of the severe economic impact on creators. These revelations strengthen copyright lawsuits filed by publishers and authors.
What is confirmed
- Brent Hecht, director of applied science at Microsoft, described AI data collection as the largest theft of labor in human history in an unsealed court document from 17 September 2026.
- The disclosures emerged from copyright lawsuits filed by the Authors Guild and other publishers and authors against Microsoft and OpenAI.
Still unconfirmed
- OpenAI used pirated books for AI training despite knowing about the copyright violations.
What to watch next
- Further court rulings on the fair use defense in the Authors Guild copyright lawsuit.
- Additional unsealed internal communications from Microsoft and OpenAI executives.
confidence 90%Sources used for this update (3)
- finance.biggo.com — OpenAI Used Pirated Books for AI Training Despite Knowing ...
- en.mgpf.it — The largest theft of labor in human history - Matteo Flora
- www.youtube.com — Microsoft AI Exec: “Largest Theft of Labor in Human History ...
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Microsoft Executive Called AI Scraping Largest Theft in History
Newly unsealed court documents reveal that a Microsoft director of applied science privately characterized AI training data collection as an astonishing theft and potentially the largest theft of labor in human history. The disclosures emerge from ongoing copyright lawsuits filed by publishers and authors against Microsoft and OpenAI. Internal records show that major tech executives internally acknowledged the severe economic harm and existential threats that scraping poses to journalists and creators, directly contradicting public defenses of artificial intelligence training as fair use.
Why it matters
The records surface amid mounting legal challenges over data collection practices, including high-profile litigation brought by The New York Times and the Authors Guild. These documents expose a sharp divide between public claims of fair use and private acknowledgments that ingesting copyrighted works without licenses involves pirated material. The revelations threaten to reshape the legal framework surrounding artificial intelligence training data.
What is confirmed
- Microsoft director of applied science Brent Hecht wrote in a January 2023 internal memo that training AI on scraped news was an astonishing theft and potentially the largest theft of labor in human history.
- Unsealed court filings from lawsuits brought by The New York Times and the Authors Guild against OpenAI and Microsoft reveal internal acknowledgments that AI training data practices pose an existential threat to publishers and journalists.
Still unconfirmed
- Executions of AI training practices were known by leadership to be explicitly illegal before proceeding with ingestion of copyrighted books.
What to watch next
- Court rulings on whether AI training data collection qualifies as fair use.
- Further unsealing of internal documents from major artificial intelligence copyright litigation.
confidence 100%Sources used for this update (12)
- www.wionews.com — Microsoft executive called AI training the ‘largest theft of labour in human history’
- www.ibtimes.co.uk — Microsoft Director Warned AI Training Could Be 'Largest Theft of Labor in Human History', Filing Says | I....
- www.europesays.com — Microsoft exec: AI is a ‘doom loop’ scraping the ‘largest ...
- ediscoverytoday.com — The Largest Theft of Labor in Human History. Says the ...
- rightstech.com — Microsoft exec called AI scraping ‘the largest theft of labor ...
- www.wnylabortoday.com — “It’s The "Largest Theft Of Labor In Human History" - New ...
- www.computeleap.com — The Emails That Could Sink Fair Use | ComputeLeap
- www.listmyai.com — Unsealed Briefs Reveal OpenAI and Microsoft Executives Knew ...
- www.aimodeling.com — Unsealed filings: Microsoft exec privately called AI…
- www.aipulse.it — AI Copyright Case: Execs Knew Training Data Was 'Pirated ...
- humandriven-ai.com — AI and Labor: The 'Largest Theft of Labor' Debate — Human ...
- www.middleclassprepper.com — Unsealed Court Briefs Show OpenAI Executives Acknowledged ...
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Microsoft Scientist Called AI Training Largest Theft of Labor
Unsealed court filings reveal that a Microsoft scientist described AI data scraping as the largest theft of labor in human history. Internal documents show that Microsoft's Copilot reduced news click-through rates by up to 94 percent, a dynamic company papers characterized as a doom loop. These disclosures highlight a stark contrast between public defenses of AI training as fair use and private internal acknowledgments of severe economic harm to publishers. The records emerge as major tech companies face mounting copyright litigation and legal challenges over their data collection practices.
Why it matters
The unsealed documents expose internal panic at tech giants regarding the sustainability of the publishing industry under automated scraping models. Microsoft and OpenAI face rigorous legal scrutiny over copyrighted material used in machine learning. Plaintiffs in ongoing copyright lawsuits point to these internal assessments to undermine public claims of fair use.
What is confirmed
- A Microsoft scientist called AI training the largest theft of labor.
- Microsoft numbers show Copilot cut news click-throughs by up to 94 percent.
- Internal Microsoft documents call the result a doom loop.
What to watch next
- Further unsealing of documents in copyright litigation against Microsoft and OpenAI
- Judicial rulings on whether AI data scraping qualifies as fair use
confidence 100%Sources used for this update (4)
- note.com — Claude Supports Common Instructions: New Common Sense Before Entrusting Tasks to AI
- note.com — 7 AI News Highlights of the Day | September 20, 2026 |｜宮野宏樹
- thenextweb.com — A Microsoft scientist called AI training the largest theft of labor
- vc.ru — Руководитель Microsoft назвал сбор данных для AI «крупнейшей кражей результатов труда в истории ...
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Microsoft Executive Called AI Scraping "Largest Theft of Labor in Human History"
Unredacted court filings reveal a Microsoft executive described AI data scraping as "the largest theft of labor in human history." These records suggest that while Microsoft and OpenAI publicly defend their training methods as fair use, executives privately viewed the process as theft. Simultaneously, internal communications indicate staff at both companies recognized that AI tools posed an "existential threat" to the publishing industry. These revelations emerge as the companies fight various legal battles over AI training and copyright, though some software developer claims have recently been rejected by an appeals court.
Why it matters
AI companies rely on massive datasets scraped from the internet to train large language models. Publishers argue this practice steals intellectual property and destroys their business models by reducing click-through traffic. The tension centers on whether this usage constitutes fair use or copyright infringement.
What is confirmed
- A Microsoft executive called AI scraping "the largest theft of labor in human history" in court filings.
- Unredacted filings show Microsoft and OpenAI executives privately called AI data scraping theft while publicly defending it as fair use.
- Staff at OpenAI and Microsoft expressed concern regarding the existential threat AI posed to publishers.
- An appeals court rejected an expansive new copyright claim against AI training.
Still unconfirmed
- Donald Trump supports AI scraping despite the impact on publications.
What to watch next
- Further unsealing of court documents from the New York Times lawsuit
- Rulings on the remaining software developer lawsuits against OpenAI and Microsoft
confidence 90%Sources used for this update (11)
- Financial Times — OpenAI staff knew the ‘existential threat’ AI posed to publishers, New York Times claims
- TechCrunch — Microsoft exec called AI scraping ‘the largest theft of labor in human history,' new unredacted filings reveal
- Electronic Frontier Foundation — Victory! Appeals Court Rejects Expansive New Copyright Claim
- Reuters — OpenAI, Microsoft fend off part of software developer lawsuit over AI training
- arstechnica.com — Microsoft exec called AI scraping the “largest theft of labor in human history”
- washingtonpost.com — Microsoft exec called AI the ‘largest theft of labor’ in history, court records show
- WSJ — Tech Companies’ Staff Knew Their AI Tools Posed ‘Existential Threat’ to Publishers
- The New York Times — Inside Microsoft and OpenAI, Worry About Damaging the Publishing Industry
- www.yahoo.com — Microsoft’s Own Executive Called AI Training “the Largest Theft of Labor in Human History”
- www.yahoo.com — Microsoft exec said AI scraping was ‘the largest theft of labor in human history,’ lawsuit filings reveal
- www.tweaktown.com — Internal Microsoft warning brands AI scraping the 'largest theft of labor in human history'
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