The U.S. Department of Justice Investigates Google's AI Deal for Antitrust Violations

The U.S. Department of Justice is investigating whether Google has violated antitrust laws by agreeing to use artificial intelligence technology from a popular chatbot manufacturer. Sources indicate that antitrust enforcement agencies have recently informed Google that they are examining the structure of its agreement with Character.AI to determine if it was designed to evade formal government merger reviews. Under the agreement reached last year, the founders of the chatbot company joined Google, which also received a non-exclusive license to use the technology. A Google spokesperson stated in an email that the company is always willing to respond to regulatory inquiries. They expressed enthusiasm for the addition of Character.AI talent but clarified that Google has no stake in the company, which continues to operate independently. Even if the agreement does not require formal review, the Department of Justice retains the authority to investigate potential anticompetitive behavior. The investigation is currently in its early stages and has not resulted in any allegations of misconduct against Google, and it may ultimately not lead to enforcement actions.