AI Search: Perplexity, Google AI Mode, ChatGPT Search — 2026-09-17
This week, the legal battle over AI search content intensified with new court filings revealing a Microsoft executive's admission of "astonishing theft" in the copyright suit against OpenAI, while publishers argued licensing costs are a "rounding error" for tech giants. Simultaneously, regulators in the EU and UK are actively querying publishers on Google’s AI Overviews opt-out mechanisms, signaling a shift from passive complaints to active enforcement of attribution rules. <!-- /headline --> **Microsoft Exec Admits "Theft" as AI Copyright Suits Heat Up**
AI Search: Perplexity, Google AI Mode, ChatGPT Search — 2026-09-17
This week, the legal battle over AI search content intensified with new court filings revealing a Microsoft executive's admission of "astonishing theft" in the copyright suit against OpenAI, while publishers argued licensing costs are a "rounding error" for tech giants. Simultaneously, regulators in the EU and UK are actively querying publishers on Google’s AI Overviews opt-out mechanisms, signaling a shift from passive complaints to active enforcement of attribution rules.
<!-- /headline -->Microsoft Exec Admits "Theft" as AI Copyright Suits Heat Up
Top developments
Microsoft Executive Admits to "Astonishing Theft" in AI Copyright Suit
Newly unredacted documents filed on September 17, 2026, in the landmark copyright infringement lawsuit between newspapers (including the Daily News and The New York Times) and Microsoft/OpenAI reveal a startling admission by a Microsoft executive. The filing describes the alleged copying of content as "astonishing theft," a phrase that significantly strengthens the plaintiffs' argument regarding the willfulness of data scraping. This development is critical for the Daily desk as it provides concrete evidence in ongoing litigation that could set precedents for how AI answer engines are held liable for training data.
Publishers Argue AI Licensing is a "Rounding Error" for OpenAI
As copyright cases advance toward potential rulings, publishers are aggressively pushing back against tech companies' claims that content licensing is prohibitively expensive. In a recent hearing covered by CNET, Ziff Davis CEO Vivek Shah argued that the cost of licensing news content for AI training would be a mere "rounding error" for companies like OpenAI. This narrative is gaining traction in legal circles and could influence settlement amounts or court-ordered compensation structures in the coming months.
EU and UK Regulators Query Publishers on Google’s AI Opt-Outs
Regulators are moving beyond initial complaints to active investigation of Google’s compliance mechanisms. The UK’s Competition and Markets Authority (CMA) and European authorities have begun querying publishers about the effectiveness of Google’s opt-out tools for AI Overviews. The CMA recently imposed a world-first conduct rule requiring Google to allow UK publishers to block their content from AI Overviews without suffering a drop in traditional search rankings. This regulatory pressure forces Google to balance its AI ambitions with fair competition laws, directly impacting how publishers can protect their traffic.
Malwarebytes Issues Opt-Out Guides for ChatGPT, Perplexity, and Claude
Following reports that OpenAI is recruiting contractors to review user prompts for model improvement, security firm Malwarebytes Labs published step-by-step instructions for users to opt out of data collection across major AI chatbots, including ChatGPT, Perplexity, and Claude. This reflects growing consumer privacy concerns that may impact user trust and adoption rates for AI search engines if transparency measures are not strengthened.
Local view
No recent local-language media specific to this signal was identified in the past 7 days beyond general international coverage.
Context & numbers
- Zero-Click Growth: Similarweb data indicates zero-click searches increased from 56% to 69% between May 2024 and May 2025, a trend directly correlated with the rollout of AI Overviews.
- AI Overview Reach: Google AI Overviews now appear in over 40% of Google searches as of May 2026, according to Similarweb.
- Traffic Decline: Reuters Institute and Chartbeat data show Google search traffic to publishers fell 33% globally in the year leading up to November 2025, with US publishers experiencing a steeper decline of 38%.
On the radar
- OpenAI Deep Research Expansion: On September 9, 2026, OpenAI made Deep Research available in ChatGPT Work and Codex, allowing the mode to research questions across the web, files, and connected apps to produce cited documents. This feature may further reduce clicks to original sources by synthesizing information internally.
- Perplexity Local AI Push: Rumors and reports suggest Perplexity is looking to expand into local AI processing, potentially reducing reliance on cloud servers and offering faster, more private search results. This could change the competitive landscape against cloud-heavy competitors like Google and Microsoft.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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