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Experts suggest that the algorithms powering generative AI tools operate in a similar way to those that suggest videos to YouTube users. Therefore, the Supreme Court's decision regarding YouTube's liability could impact the legal status of AI chatbots. The ruling may influence the ongoing discussion over whether Section 230 immunity, which protects technology platforms from legal responsibility for third-party content, should apply to AI models that create original works.
While Justice Neil Gorsuch noted that AI tools capable of generating "poetry" and "polemics" would likely not enjoy legal protections, courts have not yet weighed in on whether a response from an AI chatbot would be covered. Democratic Senator Ron Wyden has argued that the liability shield should not apply to generative AI tools because they "create content."
Tech industry trade groups, however, have pushed to preserve Section 230 protections, arguing that AI models like ChatGPT are simply directing users to existing content in response to a query, rather than creating new content. They argue that weakening Section 230 would expose AI developers to a flood of litigation that could stifle innovation.
Some experts predict that the courts may take a middle ground, examining the context in which the AI model generated a potentially harmful response. In cases where the AI model appears to paraphrase existing sources, the shield may still apply. However, chatbots like ChatGPT have been known to create fictional responses that appear to have no connection to information found elsewhere online, a situation that would likely not be protected.





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