Google's AI Deal Sparks New Antitrust Probe

Google Faces Fresh Antitrust Scrutiny Over AI Chatbot Deal Google is once again under the microscope of antitrust regulators. The Justice Department has launched an investigation into a licensing deal between Google and Character.AI, a startup developing AI-powered chatbots. This deal, which saw Google license Character.AI's technology instead of acquiring the company outright, is raising concerns about potential monopolistic practices. "Google's decision to license rather than acquire Character.AI is a classic Big Tech strategy," explains Justin Moore, a former Goldman Sachs and Google employee. "If you can't beat them, buy them or, if that's too risky, license their technology and bring their key personnel on board." This approach, Moore suggests, was an attempt to control Character.AI's technology without triggering further antitrust action. The investigation highlights Google's history of antitrust battles and its ambition in the rapidly evolving AI market. The outcome of the investigation could have significant implications for the future of AI development and the tech industry's regulatory landscape. The situation underscores the ongoing tension between innovation and the need to prevent the abuse of market dominance. While Google attempts to navigate this complex regulatory environment, the ongoing investigation serves as a reminder of the importance of fair competition and consumer protection in the tech industry.