Reddit Files Lawsuit Against AI Startup Perplexity Over Alleged Data Scraping Violations

Legal Action Over AI Training Data

Social media platform Reddit has filed a federal lawsuit against artificial intelligence startup Perplexity, according to court documents reviewed by Reuters. The legal complaint, filed in New York, alleges that Perplexity and three data-scraping companies unlawfully extracted Reddit’s content to train Perplexity’s AI-based search engine without proper authorization.

Legal Action Over AI Training Data
Alleged Circumvention of Data Protections
Growing Trend of AI Copyright Disputes
Corporate Responses and Positions
Broader Industry Implications
Legal Escalation and Demands
Industry Context and Precedents

Alleged Circumvention of Data Protections

The lawsuit claims that the defendants deliberately bypassed Reddit’s data protection measures to access information that Perplexity “desperately needs” for its “answer engine” system, according to the reported court filing. Reddit’s legal team asserts that Lithuania-based Oxylabs, Russia-based AWMProxy, and Texas-based SerpApi scraped data from billions of Reddit search results without permission, with Perplexity allegedly collaborating with at least one of these companies to obtain the material.

Growing Trend of AI Copyright Disputes

This case joins multiple similar lawsuits filed by content owners against technology companies regarding the alleged misuse of copyrighted material for artificial intelligence training purposes. Industry analysts suggest this represents a significant legal frontier as AI companies increasingly require large datasets for system development. Reddit previously initiated comparable legal proceedings against AI startup Anthropic in June, which reportedly remains ongoing.

Corporate Responses and Positions

Perplexity has publicly defended its practices, stating through a corporate communication that “our approach remains principled and responsible as we provide factual answers with accurate AI, and we will not tolerate threats against openness and the public interest.” Meanwhile, a SerpApi spokesperson indicated the company “strongly disagree[s] with Reddit’s allegations and intend[s] to vigorously defend ourselves in court.” Attempts to obtain comments from Oxylabs and AWMProxy were reportedly unsuccessful at the time of reporting.

Broader Industry Implications

Reddit’s chief legal officer Ben Lee characterized the situation as part of a larger pattern, stating that “AI companies are locked in an arms race for quality human content — and that pressure has fueled an industrial-scale ‘data laundering’ economy.” The social media platform, which hosts thousands of specialized community forums, reportedly claims it has become the most frequently cited source for AI-generated answers to user queries. Notably, Reddit has established formal licensing agreements with major technology firms including Google and OpenAI for AI training purposes.

Legal Escalation and Demands

According to the reported court documents, Reddit had previously sent Perplexity a cease-and-desist letter last year. Sources indicate that following this communication, Perplexity substantially increased its citations of Reddit content. The social media company is now seeking unspecified monetary damages and a court order that would prohibit Perplexity from continuing to use its data for AI training operations.

Industry Context and Precedents

Legal experts suggest this lawsuit reflects broader tensions between content creators and AI developers regarding data usage rights. As artificial intelligence systems require increasingly sophisticated training data, companies are facing complex legal questions about intellectual property boundaries. The outcome of this case could potentially establish important precedents for how AI companies access and utilize online content for system development.