Perplexity AI also faces lawsuit from Murdoch-owned Dow Jones and New York Post for its use of copyrighted content

The New York Times sued an embattled artificial intelligence startup on Friday, accusing the firm of illegally copying millions of articles. The newspaper alleged Perplexity AI had distributed and displayed journalists’ work without permission en masse.

The Times said that Perplexity AI was also violating its trademarks under the Lanham Act, claiming the startup’s generative AI products create fabricated content, or “hallucinations”, and falsely attribute them to the newspaper by displaying them alongside its registered trademarks.