Google is encountering new antitrust scrutiny from European Union authorities, who commenced an inquiry on Tuesday concerning the tech giant's utilization of web material for its artificial intelligence models and offerings.
TL;DR
- European Union authorities are investigating Google's use of web content for AI models.
- The inquiry focuses on whether Google unfairly benefits from publisher content without compensation.
- Google may have also restricted competing AI developers' access to YouTube videos.
- Penalties could reach 10% of Google's yearly worldwide earnings if violations are found.
Brussels' most recent display of regulatory power risks antagonizing was reminiscent of actions taken by President Donald Trump’s administration, despite EU officials refuting claims that they were specifically targeting major American technology firms.
The European Commission, serving as the 27-nation bloc's chief antitrust regulator, has announced it is investigating whether Google has violated competition regulations by utilizing content from online publishers and material uploaded to YouTube for artificial intelligence applications.
Authorities are worried that Google has secured an inequitable benefit by employing material for its AI Overviews and AI Mode search features without compensating publishers and content creators, nor allowing them to decline participation. AI Overviews consist of automated summaries presented at the apex of its standard search outcomes, whereas AI Mode delivers conversational responses to search inquiries.
Additionally, they're investigating if Google employs videos from YouTube, uploaded under comparable terms, to develop its AI models, simultaneously preventing competing AI developers from accessing them.
Authorities are attempting to ascertain if Google secured an advantage against competing AI firms by enforcing inequitable stipulations or granting itself preferential access to information.
“This complaint risks stifling innovation in a market that is more competitive than ever,” Google said in statement. “Europeans deserve to benefit from the latest technologies and we will continue to work closely with the news and creative industries as they transition to the AI era.”
The bloc's executive body, the Commission, is conducting the inquiry using the EU's established antitrust rules, as opposed to its more recent Digital Markets Act, which was created to stop major technology firms from dominating digital marketplaces.
“AI is bringing remarkable innovation and many benefits for people and businesses across Europe, but this progress cannot come at the expense of the principles at the heart of our societies,” Teresa Ribera, the commission’s vice president overseeing competition affairs, said in a statement.
Last week the Commission opened an antitrust investigation into WhatsApp’s AI policy. It also fined Elon Musk’s social media platform X 120 million euros ($140 million) for breaching digital regulations, which drew complaints from Trump officials that American companies were being targeted.
The Commission is “agnostic” about the nationality of companies it is investigating, spokeswoman Arianna Podesta said.
“Of course, the sole focus of our antitrust investigations is a possible illegal behavior and the harm that this could bring to competition and consumers within the European Union,” she told reporters at a regular briefing in Brussels.
Google will be given an opportunity to respond to the issues raised, and the Commission has also notified U.S. Officials regarding the inquiry, she stated.
The European Commission isn't bound by a specific timeframe to conclude its investigation, which might lead to penalties such as a financial penalty amounting to as much as 10% of the firm's yearly worldwide earnings.
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Associated Press writer Sam McNeil in Brussels contributed to this report.
