Search Engine Monopoly: AI and Its Impact
Introduction
As our experiments with Generative Artificial Intelligence (AI) continue, companies and individuals look for new ways to incorporate and capitalise on it. This also includes big tech companies betting on their potential through investments. This process also sheds light on how such innovations are being carried out, used, and affect other stakeholders. Google’s AI overview feature has raised concerns from various website publishers and regulators. Recently, Chegg, a US-based tech education company that provides online resources for high school and college students, has filed a lawsuit against Google alleging abuse of monopoly over the searching mechanism.
Legal Background
Google’s AI Overview/Search Generative Experience (SGE) is a feature that incorporates AI into its standard search tool and helps summarise search results. This is then presented at the top, over the other published websites, when one looks for the search result. Although the sources of the information present are linked, they are half-covered, and it is ambiguous to tell which claims made by the AI come from which link. This creates an additional step for the searcher as, to find out the latter, their user interface requires the searcher to click on a drop-down box. Individual publishers and companies like Chegg have argued that such summaries deter their potential traffic and lead to losses as they continue to bid higher for advertisement services that Google offers, only to have their target audience discouraged from visiting their websites. What is unique about the lawsuit that has been filed by Chegg, is that it is based on anti-trust law rather than copyright law, which it has dealt with previously. In August 2024, a US Federal Judge had ruled that Google had an illegal monopoly over internet search and search text advertising markets, and by November, the US Department of Justice (DOJ) filed its proposed remedy. Some of them were giving advertisers and publishers more control of their data flowing through Google’s products, opening Google’s search index to the rest of the market, and imposing public oversight over Google’s AI investments. Currently, the DOJ has emphasised its stand on dismantling the search monopoly through structural separations, i.e., divesting Google of Chrome. The company is slated to defend itself before the DC District Court Judge Amit Mehta starting April 20, 2025.
CyberPeace Insights
As per a report by Statista (Global market share of leading search engines 2015-2025), Google, as the market leader, held a search traffic share of around 89.62 per cent. It is also stated that its advertising services account for the majority of its revenue, which amounted to a total of 305.63 billion U.S. dollars in 2023. The inclusion of the AI feature is undoubtedly changing how we search for things online. Benefits for users include an immediate, convenient scan of general information pertaining to the looked-up subject, but it may also raise concerns on the part of the website publishers and their loss of ad revenue owing to fewer impressions/clicks. Even though links (sources) are mentioned, they are usually buried. Such a searching mechanism questions the incentive on both ends- the user to explore various viewpoints, as people are now satisfied with the first few results that pop up, and the incentive for a creator/publisher to create new content as well as generate an income out of it. There might be a shift to more passive consumption rather than an active one, where one looks up/or is genuinely searching for information.
Conclusion
AI might make life more convenient, but in this case, it might also take away from small businesses, their finances, and the results of their hard work. It is also necessary for regulators, publishers, and users to continue asking such critical questions to keep the accountability of big tech giants in check, whilst not compromising their creations and publications.
References
- https://www.washingtonpost.com/technology/2024/05/13/google-ai-search-io-sge/
- https://www.theverge.com/news/619051/chegg-google-ai-overviews-monopoly
- https://economictimes.indiatimes.com/tech/technology/google-leans-further-into-ai-generated-overviews-for-its-search-engine/articleshow/118742139.cms?from=mdr
- https://www.nytimes.com/2024/12/03/technology/google-search-antitrust-judge.html
- https://www.odinhalvorson.com/monopoly-and-misuse-googles-strategic-ai-narrative/
- https://cio.economictimes.indiatimes.com/news/artificial-intelligence/google-leans-further-into-ai-generated-overviews-for-its-search-engine/118748621
- https://www.techpolicy.press/the-elephant-in-the-room-in-the-google-search-case-generative-ai/
- https://www.karooya.com/blog/proposed-remedies-break-googles-monopoly-antitrust/
- https://getellipsis.com/blog/googles-monopoly-and-the-hidden-brake-on-ai-innovation/
- https://www.statista.com/statistics/266249/advertising-revenue-of-google/#:~:text=Google:%20annual%20advertising%20revenue%202001,local%20products%20are%20more%20preferred.
- https://www.statista.com/statistics/1381664/worldwide-all-devices-market-share-of-search-engines/
- https://www.techpolicy.press/doj-sets-record-straight-of-whats-needed-to-dismantle-googles-search-monopoly/