Google is once again under scrutiny, as the European Union began a formal investigation into the search giant, raising concerns that the company may have violated competition rules with its approach to AI training and usage. The authorities have been investigating whether Google imposed unfair restrictions on web publishers and YouTube creators while using their content to improve its own AI products.
According to the European Commission, Google’s AI features, such as AI overviews and AI mode in Search, may use online content without compensating creators or providing clear opt-out options. Experts have warned that such practices could hasten what many publishers fear to be Google Zero, a scenario in which Search stops directing visitors to external websites, cutting off a vital source of traffic and revenue.
The inquiry will now determine whether publishers can limit the use of their content in Google’s AI systems without risking lower visibility in search results. The investigators will also look into YouTube policies that allow Google to train its AI models on uploaded videos but prevent rival AI developers from doing the same.
The Commission has also stated that the case is being prioritised; however, no completion date has been set so far. If Google is found in violation of EU competition law, it could face fines of up to 10 per cent of its global annual revenue, which could total $35 billion based on Alphabet’s 2024 earnings.
“If proven, the practices under investigation may breach EU competition rules that prohibit the abuse of a dominant position (Article 102 of the Treaty on the Functioning of the European Union (‘TFEU’)) and Article 54 of the European Economic Area (‘EEA’) Agreement,” the EU wrote in its announcement.