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Market Harm

The effect of a use on the value of or market for the copyrighted work.

CopyrightCurrent

Plain-English explanation

Market harm asks whether the new use replaces demand for the original or its ordinary licensing channels.

Legal meaning

The fourth fair use factor examines effect on the potential market for or value of the copyrighted work, including harm to licensing markets where they exist.

AI-specific relevance

Rights holders argue AI training and outputs cannibalize licensing markets for books, news, stock images, and code.

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