Explore the Future of AI: Progress, Challenges, and Key Developments
Weekly Insights from Fast Company’s AI Decoded Newsletter
Could Generative AI Be Just a Minor Revolution?
Anthropic’s Settlement with Authors: A Potential Legal Precedent
More AI Coverage from Fast Company
Welcome to AI Decoded: Your Weekly Update on AI Trends
Welcome to AI Decoded, Fast Company’s weekly newsletter breaking down pivotal news in the artificial intelligence landscape. I’m Mark Sullivan, Fast Company’s senior writer specializing in emerging tech, AI, and tech policy.
This week’s highlights include an examination of the real-world pace of progress in generative AI and a significant update on Anthropic’s decision to settle its copyright lawsuit with authors.
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Could Generative AI Be Just a Minor Revolution?
In a recent discussion on the TBPN podcast, host Jordi Hays posed an intriguing question: How transformative would our lives really be without access to generative AI tools like ChatGPT and Claude? Co-host John Coogan suggested that life might not be as drastically affected as one might think, drawing comparisons to the sudden disappearance of smartphones or electricity.
As we evaluate the impact of AI on society, it’s essential to keep the broader historical context in mind. Based on nearly three years since the launch of ChatGPT, should we view generative AI as a force comparable to the industrial revolution, the internet, or the mobile revolution?
Financial Times columnist Janan Ganesh notes that those predicting generative AI’s potential to bring about abundance and well-being are often closely tied to the technology and may have vested interests in overselling its capabilities. While generative AI is undeniably impressive—applications like ChatGPT’s Deep Research and Google’s Veo 3 video generator showcase its potential—adoption doesn’t always correlate with profitability.
In just two years, generative AI achieved a 39.4% adoption rate among U.S. adults—a record for new technologies. However, subscription models haven’t mirrored this growth; only about 3% of users pay for premium services. This disparity offers insight into a critical question: Is generative AI merely a fleeting trend rather than a lasting revolution?
As of late summer 2025, the initial excitement surrounding generative AI seems to be waning. Consumers and businesses are less captivated by its novelty and more focused on its utility. While AI enhances certain tasks, such as coding, CTOs remain cautious in asserting that generative AI is transforming their businesses.
A report from MIT revealed alarming statistics: 95% of enterprise AI projects fail to yield substantial efficiency or profit improvements. These failures often stem not from technological shortcomings but from difficulties in integrating AI solutions into existing workflows and data structures.
Anthropic’s Settlement with Authors: A Landmark Case
In a noteworthy development in the realm of copyright, Anthropic is set to finalize a settlement with a group of authors who claimed that the company trained its Claude AI models using their copyrighted works. A court filing revealed that preliminary terms have been agreed upon, with Judge William Alsup setting a deadline for finalization by September 5.
In a ruling from June, the court found that while Anthropic’s use of digitized books could qualify as “fair use” under the Copyright Act, the company illegally obtained these works from a “shadow library,” including the infamous LibGen site. The judge’s ruling could have exposed Anthropic to significant damages, leading the company to choose a settlement route instead.
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