
Chegg, a U.S.-based educational technology company, has filed a lawsuit against Google, accusing it of using AI-generated search overviews to diminish the value of original content. The lawsuit, filed in Washington, D.C., claims that Google’s AI-driven summaries reduce user traffic to publisher websites, threatening the financial viability of digital content creators. Chegg argues that this practice weakens the broader information ecosystem by discouraging quality content production.
The company, headquartered in Santa Clara, California, reported a significant decline in visitors and subscribers, which it attributes to Google’s AI features. CEO Nathan Schultz stated that Google profits from Chegg’s content without compensation, negatively impacting not just Chegg but also the entire digital publishing industry. The lawsuit argues that Google’s practices violate antitrust laws by coercing publishers into allowing AI-driven content usage in exchange for search visibility.
This case is believed to be the first of its kind, where a single company directly challenges Google’s AI search features on antitrust grounds. A similar lawsuit was previously filed by an Arkansas newspaper as part of a broader class action. The lawsuit is being overseen by U.S. District Judge Amit Mehta, who recently ruled that Google holds an illegal monopoly in online search. Google has denied wrongdoing and is appealing that decision while also seeking dismissal of the newspaper’s case.