alt Hacker NewsNo it wouldn't.
It wasn't "catastrophic" for the largest of the 3 US credit reporting agencies when their entire dataset was breached. The company is 100% IP and the only value they have was completely copied. Their largest value is to verify identities by the things Americans know (KDB) and after that "single factor of identity" was 100% compromised, the company only got bigger and more contracts.
When there are only 4 competitors in the large scale foundation model business and they all throw caution to the wind because they are racing to own the "$30 trillion TAM" they are all going to make critical security, RBAC, and segregation mistakes.
Both ChatGPT and Claude threads marked for sharing have been indexed in Google at large scale. This is incredibly easy to tell Google crawlers via robots.txt not to crawl those URLs, but nobody at either of these uber unicorns could be bothered to add that one pattern to the one file.
And all of the skepticism here is about verifiability. The foundation model companies are liable for potentially more the companies are worth if found to be violating copyrights of content used for training. They aren't going to make it easier for lawsuits against them by detailing their data ingestion into training pipeline.
The credit reporting agencies lost the data of normal people, they didn’t lose their customers proprietary internal data. The credit agencies didn’t loose or misplace their customers data, so obviously their customers don’t really care that much, and the credit agencies weren’t sued into oblivion.
But I can guarantee you that if a companies internal data got leaked or misused, then every single enterprise customer of that lab would turn around and start suing them. As an enterprise customer you would be foolish not to, if only if figure out via discovery just how badly you got screwed.
You want to see how nasty that can get. Just go and look at what Apple is doing to OpenAI at the moment. Do you really think Apple wouldn’t find a way to sue a lab into oblivion if they discovered a lab had secretly started training on their data?