Major Defeat for Sony Music as Supreme Court Rejects Liability Claims in $1 Billion Copyright Battle

The United States Supreme Court issued a unanimous ruling on Wednesday, March 25, 2026, in favor of Cox Communications, effectively tossing a $1 billion jury verdict in a long-standing copyright battle with major record labels. The case, led by Sony Music Entertainment, sought to hold the internet service provider (ISP) liable for the illegal music downloads of its customers, arguing that Cox had not done enough to deter or terminate the accounts of repeat infringers.

Writing for the court, Justice Clarence Thomas clarified that an ISP cannot be held contributorily liable for the actions of its users unless it actively “induced” the infringement or provided a service specifically “tailored” to illegal activity. The court noted that because Cox simply provides general internet access with substantial non-infringing uses, it does not meet the legal threshold for intent. “Cox neither induced its users’ infringement nor provided a service tailored to infringement,” Thomas wrote, reversing previous lower-court rulings that had partially upheld the billion-dollar judgment.

The decision is being celebrated as a landmark victory for the broadband industry. Cox Communications, which serves over 6 million customers, had warned that a ruling in favor of the record labels would have forced ISPs to become “copyright police,” potentially leading to widespread service disruptions for households, hospitals, and schools based on mere accusations of infringement. While the Recording Industry Association of America (RIAA) expressed deep disappointment, stating the evidence showed the company “knowingly facilitated theft,” the Supreme Court’s decision sets a high bar for secondary liability, providing significant protection for digital intermediaries moving forward.

[H/T] Breitbart

*Cover image credit: Cox Communications