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Judge Amit Mehta dismisses Chegg, PMC antitrust suits over AI Overviews

Judge Amit Mehta dismisses Chegg, PMC antitrust suits over AI Overviews

3 Key Points

  1. What happened

    US District Judge Amit Mehta dismissed antitrust lawsuits from Chegg and Penske Media that accused Google of coercing publishers into providing content for AI Overviews for free.

  2. Why it matters

    The ruling backs Google's argument that search traffic is an expectation, not an agreement, making it harder for publishers to win similar antitrust claims over AI search features.

  3. What to watch

    Publishers' traffic losses continue as Google reportedly pays around 100 publishers in a pilot for AI Overviews, AI Mode, and Gemini contributions.

WHO IT HITSSearch and content publishers that rely on Google traffic may find antitrust litigation a less viable path for addressing revenue declines from AI search features.

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Context & Analysis

The ruling comes after Judge Mehta made a landmark antitrust ruling against Google in 2024. In this case, he acknowledged the court is not 'unsympathetic' to publishers, but said antitrust rules cannot replace legislative action on the economic impact of new innovation. The decision highlights the legal difficulty of using antitrust law to challenge AI-driven changes to search, even as publishers report steep traffic declines. Meanwhile, Google is reportedly paying around 100 publishers for AI content, suggesting a possible shift toward compensation models outside the courtroom. The outcome for publishers may hinge on whether such pilot payments expand or whether lawmakers act where courts have declined.

FAQ
Why were the lawsuits dismissed?
Judge Mehta wrote that the publishers only pleaded an 'expectation' that Google would send traffic if they made content available for free, and that an expectation is not an agreement under antitrust law.
What did the publishers accuse Google of?
Chegg and Penske Media accused Google of abusing its monopoly power by coercing publishers into supplying content for AI Overviews for free, or risk disappearing from search results.
Is Google paying publishers for AI content now?
The Information reported that Google is paying around 100 publishers for their contributions to AI Overviews, AI Mode, and Gemini as part of a pilot program.

Also reported by Ars Technica AI

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