Reddit sues AI startup Anthropic for allegedly using data without permission

Accusations of Unlawful Data Scraping

Reddit has filed a lawsuit against AI startup Anthropic, alleging that the company used Reddit’s user data without authorization to train its Claude family of artificial intelligence models. According to the complaint lodged in California, Anthropic scraped Reddit’s servers over 100,000 times, despite previously stating that its bots had been blocked from Reddit’s platform since July 2024. This conduct, Reddit argues, violates its user agreement, which prohibits commercial exploitation of user content without a formal licensing arrangement.

Reddit’s Data Licensing Practices

Reddit has existing licensing deals with major technology firms, including ChatGPT developer OpenAI and Google, allowing those companies to use Reddit content for training large language models. These agreements reportedly include measures designed to protect user privacy, such as removal of deleted posts from the training datasets. Anthropic, however, has not secured a similar agreement, prompting Reddit to seek legal recourse.

Response and Legal Remedies Sought

  • Reddit is demanding compensatory damages, arguing that Anthropic unlawfully benefited from the value of Reddit’s data.
  • The lawsuit also seeks an injunction that would require Anthropic to remove any technology developed using Reddit content, including potentially its Claude chatbot.

A spokesperson for Anthropic stated that the company disagrees with Reddit’s claims and intends to “defend ourselves vigorously” in court.

Market Response and Industry Context

Following news of the lawsuit, Reddit’s stock surged nearly 7% in trading on Wednesday and is up about 28% so far in 2025. The case highlights growing tensions between content platforms and artificial intelligence developers as disputes over data rights and user privacy intensify across the tech industry.

Conclusion

The outcome of this legal battle could have significant implications for how AI companies source and utilize user-generated data. As licensing deals become the norm, other social platforms and AI startups may need to reassess their data access and training strategies to avoid similar conflicts.

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