AI Chatbot 'Zeta' Under Fire for Alleged Webtoon IP Infringement

The AI chatbot 'Zeta' has been embroiled in controversy over alleged webtoon IP infringement. Six domestic webtoon platforms, including Kakao Entertainment and Ridibooks, have filed a lawsuit against AI chatbot developer Scatter Lab for abetting copyright violations. They claim Zeta is illegally using creators' IP to offer paid services.

'Zeta,' popular among Gen Z, allows users to chat with AI characters tailored to their preferences. Webtoon platforms argue that Zeta illicitly utilizes original narratives, characters, and settings from webtoons, linking them to its paid model. They also point to violations of moral rights, citing instances where characters are depicted in adult content or generate inappropriate dialogue.

Scatter Lab maintains that it is fulfilling its obligation to delete content upon notification and adhering to legal requirements. The company stated that it received 'no charges' dismissals (non-referral) from the police regarding lawsuits filed by Ridibooks and KidariStudio. HYBE also sent a formal notice to Zeta requesting a prohibition on creating AI characters using its artists' IP, and reportedly, measures have been taken.

Experts suggest that developers can be held liable for aiding infringement if they knowingly permit the distribution of illegal copyrighted content without making genuine efforts to prevent it. They noted that merely acting upon notifications is insufficient, emphasizing the need for practical IP protection measures such as self-monitoring, accountability, and robust warnings and blocking mechanisms for users.