Elon Musk took to Twitter recently to caution Microsoft (NASDAQ:MSFT) about a possible lawsuit, claiming that the tech behemoth unlawfully used Twitter data for training its AI model. Musk’s tweet seemed to be a reaction to Microsoft’s move to drop Twitter from its corporate advertising platform, with the company blaming Twitter’s API fees for the decision. Earlier this year, Twitter rolled out charges for access to its data, with plans starting at $100 a month for numerous users.
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As major tech companies continue to chase advancements in AI models like OpenAI’s GPT, data owners are either trying to put a stop to these efforts or charging for the use of their content. These AI models rely on essential training data that comes from platforms such as Reddit and Twitter, which provide valuable conversational insights that help improve AI capabilities.
Despite the potential lawsuit, investors don’t seem bothered by it, as shares of Microsoft are only down fractionally in today’s trading. Furthermore, MSFT stock has a Strong Buy consensus rating among analysts based on 27 Buys, four Holds, and one Sell assigned in the past three months.
