Google Faces EU Probe Over Content Use

Google is facing a formal investigation by the European Commission over concerns that its artificial intelligence practices may breach EU competition rules. These rules are designed to prevent companies with a dominant market position from abusing their power.

The inquiry focuses on how Google has used content from creators and publishers in ways that may leave them with little choice but to comply. Publishers risk losing vital search traffic if they refuse to have their content used in Google’s AI products.

One of the primary areas under scrutiny is Google’s AI Overviews and AI Mode, which generate summaries and answers using web content. The Commission is concerned that publishers are not given the option to opt out or receive compensation for the use of their material.

Many publishers rely heavily on Google Search for traffic and visibility. Without the ability to refuse, they may feel compelled to accept Google’s terms to maintain access to their audience. This raises questions about fairness in the content ecosystem.

The investigation also considers whether Google is granting itself preferential access to YouTube content for AI purposes. Competitors are prevented from using the same data, potentially giving Google an unfair advantage in developing AI technologies.

Creators uploading content to YouTube are required to grant Google permission for various uses, including training AI models. However, there is no financial remuneration for this, creating concerns over exploitation of creator work.

At the same time, rival AI developers cannot access YouTube content for training purposes due to Google’s restrictions. The European Commission sees this as a potential abuse of Google’s dominant position, limiting competition in the AI market.

The Commission’s investigation aims to assess whether these practices give Google an unfair edge over competitors. By leveraging both search and video platforms, the company may be consolidating its influence in ways that harm the broader AI ecosystem.

Publishers and content creators may feel they have little choice but to comply with Google’s terms. Refusing could result in reduced search visibility or loss of traffic, which could impact revenue and audience reach.

The EU’s antitrust inquiry will determine whether Google’s actions amount to an abuse of its dominant position, violating competition law. It will explore whether the company’s approach to content usage is fair and transparent.

Particular attention is being given to how AI Overviews and AI Mode generate answers without explicit consent from content owners. This includes assessing the lack of payment or compensation mechanisms for publishers and creators.

The Commission is also examining whether Google’s approach to YouTube content gives it a market advantage in AI training while blocking competitors. This combination of mandatory access and restricted competition raises concerns about market distortion.

If found in breach, Google could face regulatory penalties or be required to change its practices. The investigation also highlights the broader challenge of regulating AI in ways that protect creators, publishers, and competition.

The outcome of this investigation may have significant implications for how AI companies use online content in Europe. It could set a precedent for fair compensation and opt-out options for content owners.

The European Commission has officially notified Google that the investigation is underway. Over the coming months, regulators will evaluate whether the company’s practices violate EU competition rules and whether changes are needed to ensure a level playing field.