Warner Bros Sues Midjourney Over AI Copyright Infringement

Warner Bros Discovery has filed a lawsuit (the Midjourney lawsuit) against AI image generator Midjourney in a Los Angeles federal court, accusing it of copyright infringement for allowing users to produce images of its characters—such as Superman, Batman and Bugs Bunny—without authorization. The studio claims Midjourney lifted previous restrictions on generating such content and used stolen assets to train its AI. The Midjourney lawsuit seeks unspecified damages, disgorgement of profits and an injunction to halt further infringements. This action follows a similar June suit by Disney and Universal, targeting Midjourney over characters like Darth Vader and Shrek, and a separate artists’ case in California. Midjourney, founded by David Holz and boasting some 21 million users and over $300 million in revenue, argues its training process constitutes fair use and likens its service to a search engine. Warner Bros Discovery emphasizes its goal to protect creative partners and investments, highlighting the broader industry battle over generative AI’s use of copyrighted material.
Neutral
The lawsuit filed by Warner Bros against Midjourney primarily concerns intellectual property and AI image generation platforms rather than direct cryptocurrency or blockchain assets. Consequently, it is unlikely to influence crypto market dynamics or token valuations. Historically, legal disputes over AI technology, such as the Disney and Universal suits or artists’ copyright claims, have had limited impact on digital asset prices. In the short term, crypto traders are expected to remain focused on macroeconomic trends and on-chain metrics. Over the long term, regulatory precedents set in AI and copyright law could inform policy developments affecting tokenized AI platforms, but any resulting market shifts are likely to be gradual and sector-specific.