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This is a settlement. Google was forced into this because of immense pressure from the publishing industry. Google's Book project was a massive, systematic raping of copyright, and everyone knew it. Everyone seems to be praising Google for this, but this is a settlement from a copyright-infringement lawsuit brought by the Authors Guild. Praise them, instead (there was also a separate suit by the Association of American Publishers on behalf of five big publishers). Google aren't the good guys, here. They violated copyright, and are side-stepping a judgment by this settlement.
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