Dissolving Innovation in Meltwater: Copyright and Online Search

Abstract

Internet search engines serve an ever-more-pressing need. They rely heavily on leeway under copyright law; in the U.S., that primarily means fair use. A 2013 decision, Associated Press v. Meltwater, advances an unsupported, highly limiting interpretation of fair use as it applies to search. Of particular concern, the court artificially constrains which services meet the legally favorable standard of having a transformative purpose. The ruling also provides too much protection for highly factual works. This article offers a detailed critique of the court’s analysis and a discussion of the ruling’s broader context and significance for news producers and search firms.

Keywords: copyright, fair use, newspaper industry, search engines

JEL Classification: K39