Unlike OpenAI or Google, Perplexity AI doesn't build its own foundational models. This lack of a core asset means it cannot offer publishers lucrative licensing deals for their content. Consequently, mounting copyright lawsuits from major publishers pose a much greater existential threat, as Perplexity has no bargaining chips.

Facing a lawsuit that made him want to "walk away from everything," WordPress founder Matt Mullenweg took a short break. He discovered that being away from his life's mission—open source—was more painful than being attacked for it, which re-energized his commitment and provided clarity.

Anthropic's $1.5B copyright settlement highlights that massive infringement fines are no longer an existential threat to major AI labs. With the ability to raise vast sums of capital, these companies can absorb such penalties by simply factoring them into their next funding round, treating them as a predictable operational expense.

For complex legal requests that increase your business risk or costs (e.g., unlimited liability, extensive insurance requirements), treat them as an additional negotiation lever. Explain that your standard pricing is based on a reasonable, collaborative risk profile. Accepting their terms changes that profile and will require adjusting the price accordingly.

A ranch owner's escalating pressure, such as having a deputy serve new citations to defendants in front of the jury, went beyond standard legal practice. Such overly aggressive moves can be counterproductive, signaling to observers that the case relies more on intimidation than on solid legal ground.

Companies intentionally create friction ("sludge")—like long waits and complex processes—not from incompetence, but to discourage customers from pursuing claims or services they are entitled to. This is the insidious counterpart to behavioral "nudge" theory.

Costco is suing the Trump administration over tariffs, not just as a legal strategy, but as a public relations move. It signals to customers that Costco will fight anyone, even the president, to uphold its core value proposition of saving people money.

A landowner's attempt to intimidate hunters with a $9 million lawsuit backfired. The sum was so large it felt absurd, causing the defendants to view it as a "financial apocalypse" they couldn't possibly pay. This removed the fear a smaller, more plausible fine might have instilled, strengthening their resolve.

Using legal attacks against political opponents ("lawfare") is a societal gangrene. It forces the targeted party to retaliate, turning elections into existential battles for survival rather than policy contests. This high-stakes environment creates a powerful incentive to win at any cost, undermining democratic norms.