Anthropic paid $1.5 billion in compensation to copyright holders for use of their content in training data.

The payment was for illegally downloading copyrighted material, not training. Training was explicitly ruled to be fair use.

Partially correct. The court explicitly ruled that training on pirated data, which is what Anthropic was doing, is not considered fair use.

Training on legally acquired / licensed data is potentially fair use.

It's not potentially, it's settled. At least for now as neither case wanted to move on to appeals

	▲	tristanj an hour ago \| parent [-]
		Not at all. The ruling came from a federal district court, and since it was settled early, it was never reviewed by a higher court. It doesn't set a national precedent across the U.S. And other district courts don't agree on this. The US district court for Delaware recently rejected a fair use defense for the use of copyrighted works to train AI. https://www.reedsmith.com/articles/court-ai-fair-use-thomson... There are more cases in the pipeline. The massive NYT vs OpenAI is still ongoing. Nothing will be "settled" until this makes its way to the Supreme Court or Congress steps in.