AI21 Labs updated its Terms of Service on June 16, 2026, making material changes to its cookie consent and data collection disclosures. Previously, the terms explicitly offered users the ability to opt out of the sale of personal data and targeted advertising through a dedicated "Your Opt-Out Rights" button. The updated terms replace this specific opt-out language with a more general cookie consent framework that requires users to affirmatively click "Accept" to allow cookies for site navigation, usage analytics, and marketing efforts. The practical difference is that the prior explicit opt-out mechanism for data sales and targeted advertising has been removed and replaced with a cookie-based consent model where some cookie types may be blocked, but the specific right to opt out of data sales is no longer prominently featured in the accessible terms text.
The updated terms remove the explicit "Your Opt-Out Rights" button that previously allowed users to opt out of data sales and targeted advertising. In its place, the revised language establishes a general cookie consent framework requiring users to click "Accept" to allow cookies for site navigation, usage analysis, and marketing efforts. Users retain the ability to choose not to allow certain cookie types, but the prior dedicated opt-out mechanism for data sales and targeted advertising is no longer explicitly described in the accessible terms interface. If you wish to control cookie preferences, you can click on the cookie settings to modify consent for different types of cookies; however, strictly necessary cookies cannot be declined as they are required for core website functionality.
The updated terms restructure how users access privacy controls and opt-out rights. Rather than providing an explicit button dedicated to opting out of data sales and targeted advertising, the revised language embeds consent management within a general cookie framework. This change affects the accessibility and prominence of privacy choices, and may impact compliance with statutory privacy law requirements in California and the EU that mandate clear, accessible opt-out mechanisms. Organizations relying on AI21's services should verify that the revised framework remains adequate for their vendor compliance obligations.
→ Review your cookie settings when prompted and select 'Cookie Settings' to manage preferences for non-essential cookies.
→ Confirm that the updated terms still permit you to decline marketing and analytics cookies if you prefer to limit data collection.
→ Cookies for marketing and analytics will be stored on your device as described in the updated terms if you click 'Accept'.
→ If you do not review or adjust your cookie preferences, the default settings will apply and AI21 will be able to collect usage and marketing data as authorized by the updated terms.
Explicit button-based opt-out for data sales and targeted advertising was removed and replaced with general cookie consent language.
Updated to require affirmative acceptance for cookies used in marketing and analytics, with ability to decline certain non-essential cookies.
Explicitly stated that first-party strictly necessary cookies cannot be declined as they are required for website functionality.
This change record describes what was added, removed, or modified in the document. Analysis reflects what the updated agreement states or permits. It does not constitute a legal determination about enforceability. Applicability may vary by jurisdiction. Methodology
Users no longer have a clearly labeled, dedicated button to opt out of data sales and targeted advertising; instead, they must manage cookie preferences through a general cookie settings interface.
AI21 Labs restructured its cookie and data collection consent framework by removing language that explicitly offered users the ability to opt out of the sale of personal data and targeted advertising. The prior terms featured a dedicated opt-out button; the updated terms replace this with a more general cookie consent model requiring affirmative acceptance for analytics and marketing cookies. For organizations that rely on AI21's services or have vendor relationships, this change affects how AI21 discloses its data handling practices and may engage California Consumer Privacy Act (CCPA) compliance frameworks and General Data Protection Regulation (GDPR) consent requirements, depending on user location. The removal of an explicit data-sale opt-out may require review against state privacy law obligations if AI21 continues to process California resident data. The change is material enough to warrant review by compliance teams responsible for vendor privacy practices and privacy-related risk assessment.
CCPA (California Consumer Privacy Act), GDPR (General Data Protection Regulation), LGPD (Brazil)
Full compliance analysis
Obligation analysis, escalation trigger, board language, and recommended action.
Monitor: regulatory citations + obligations. Compliance: full compliance memo.
ConductAtlas provides verified policy intelligence sourced directly from platform documents. All analysis is intended to support, not replace, legal and compliance review. Record CA-C-003027.
This new provision grants AI21 explicit legal rights to use user inputs and outputs for model improvement while maintaining a 'solely for service provision' limitation, representing a narrower but more formally structured approach to training data usage than the previous broader language.
This provision's removal eliminates the explicit allowance for using user data to train and develop models, though the new 'Input and Output License' provision appears to replace it with more formally structured language, potentially reducing user leverage in negotiating separate agreements.
Removal of this explicit prohibition eliminates clear restrictions on competitive model development, which may either represent a relaxation of terms or indicate the provision moved to acceptable use policies or other sections of the agreement.
This detailed provision explaining IP ownership in inputs and outputs is removed and replaced with only the license grant provision, eliminating explicit clarification that users retain input ownership and receive output ownership, and losing the important disclaimer about output non-uniqueness.
Removal of the explicit class action waiver and binding arbitration requirement represents a significant shift away from mandatory individual arbitration, potentially restoring users' rights to pursue class action litigation and court remedies.
Changed from 'CUMULATIVE' to 'AGGREGATE' liability terminology, removed 'WHETHER IN CONTRACT, TORT, OR OTHERWISE' language, simplified currency notation from 'ONE HUNDRED U.S. DOLLARS ($100)' to '$100 USD', and reordered the greater-of comparison clauses.
Simplified and consolidated the provision by removing service modification/discontinuation language, removing the 'for any reason' and 'if AI21 believes you have violated these Terms' conditions, and adding 'effective immediately' to emphasize immediate enforcement.
Shifted from modifying Services to modifying Terms themselves, added requirement to provide notice via 'Last Updated' date for material changes, and added automatic acceptance mechanism through continued use.
Removed 'licensors, and service providers' from the list of indemnified parties, simplified damages list by removing 'judgments, awards, costs', and broadened trigger language from 'arising out of or relating to' to 'arising out of or in any way connected with'.
Changed 'legal action or proceeding arising under these Terms' to broader 'dispute arising out of or relating to these Terms or the Services', and removed explicit consent to personal jurisdiction and venue language.
Changed 'EITHER EXPRESS OR IMPLIED' to 'WHETHER EXPRESS OR IMPLIED', changed 'WITHOUT LIMITATION ANY WARRANTIES' to 'INCLUDING BUT NOT LIMITED TO IMPLIED WARRANTIES', removed 'ACCURACY' from warranties list, and changed final clause from 'THAT ANY DEFECTS WILL BE CORRECTED' to 'OR FREE OF HARMFUL COMPONENTS'.
Expanded from general content restrictions to a detailed enumerated list of four specific prohibited uses, replaced 'deceptive, hateful' with 'threatening, abusive, harassing, defamatory, or otherwise objectionable', removed the general responsibility clause, and added specific provisions against impersonation and misrepresentation.
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