Judge Dismisses Chegg and Penske Antitrust Lawsuits Targeting Google AI Search
The court acknowledges AI search comes with consequences, but it’s not an antitrust issue.
TL;DR
- US federal judge dismissed antitrust lawsuits filed by Chegg and Penske Media against Google.
- The companies accused Google of antitrust violations in AI search products, leading to decreased website traffic.
- US District Judge Amit Mehta ruled that Google's conduct is not illegal under antitrust law.
- The judge stated that an expectation of search traffic is not a legal agreement, and Google had no formal arrangement with the plaintiffs.
- While dismissing the case, the judge acknowledged the potential unfairness and economic harm to publishers from Google's AI search repurposing content without compensation.
- The ruling emphasizes that antitrust laws cannot be a substitute for legislative action when an outcome feels unfair but isn't illegal.
- Publishers may face an uphill battle in US courts without new legislation, but could find more support from European and UK regulators.
- Google is exploring direct payment models for content used in AI answers, but publisher reception has been poor.