@andrei0x309
It doesn’t set any precedent, because it was a settlement. Only rulings are supposed to set precedents.
As you say, in fact, the judge said that training on copyrighted material is fair use, but objected to illegally downloading books from piracy websites.
Anthropic just abandoned the legal fight and calculated that paying 3k per book to 500k authors is easier and better PR.
Meta did the same actions, but is still fighting their case.
The last legal claim they made is that even if you acquire copyrighted material using torrents, it’s not illegal if you don’t seed.
To be honest, I don’t want copyright holders to win any case because my thesis is that IP protections are hurting society, and more people would benefit if IP protections were thoroughly reduced, for example, to a maximum of 1-2 years. There are ample studies that indicate IP only facilitates wealth concentration.
But if Meta is allowed to pirate, so should everyone else.