The Motion Picture Association (MPA) has told Microsoft-backed (MSFT) AI firm OpenAI to take “immediate and decisive action” against its new video model, Sora 2, saying it is being used to create videos that violate copyrights, according to CNBC. In fact, since Sora 2 launched last week, social media has been filled with AI-generated clips featuring well-known characters and brands. MPA CEO Charles Rivkin said that the release has already led to a “proliferation” of videos infringing on members’ films and shows.
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OpenAI CEO Sam Altman responded in a blog post by promising that creators will soon have “more granular control” over how their characters are used. Still, Rivkin stressed that the responsibility rests with OpenAI, not studios, to prevent unauthorized use. He emphasized that copyright law clearly protects creators and applies in this case.
Altman also explained that OpenAI will shift from an opt-out to an opt-in system, which means that copyrighted characters won’t be included without explicit permission. However, he admitted that the system may not block every case of misuse, as “some edge cases” could slip through as the platform improves. Interestingly, copyright has become a major issue in the AI industry. Indeed, Disney (DIS) and Universal already sued Midjourney in June for distributing AI versions of their characters, while Disney later sent a cease-and-desist letter to Character.AI.
Is MSFT Stock a Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 33 Buys and one Hold assigned in the last three months. Furthermore, the average MSFT price target of $629.22 per share implies 20.5% upside potential.
