By For more than a year, company executives threw around the words artificial intelligence to signal that they too were on the cutting edge. Feeding the investor frenzy for lower costs, boosted productivity, and smarter products, “AI” became an earnings call mantra. On Wednesday, Google (GOOG, GOOGL) showed another way companies can wield AI and the excitement around it: as an antitrust defense.
In a blog post responding to the Justice Department’s proposal to potentially break up Google, the company pointed to the blossoming market for AI and the evolution of search as reasons why the government’s case is so misguided.
The Justice Department in a court filing earlier this week outlined potential remedies to reinvigorate competition in the search engine market. Google will have a chance to formally respond, but in the blog post, the company said the government seems to be pursuing a sweeping agenda that threatens to harm consumers and American competitiveness.
“The DOJ’s outline also comes at a time when competition in how people find information is blooming, with all sorts of new entrants emerging and new technologies like AI transforming the industry,” wrote Lee-Anne Mulholland, Google’s vice president of regulatory affairs.
In Google’s view, the government’s heavy-handed approach to transforming the search market ignores the nascent developments in AI, the fresh competition in the space, and new modes of seeking information online, like AI-powered answer engines.
The energy around AI and the potential disruption of how users interact with search is, competitively speaking, a negative for Google, said Wedbush analyst Dan Ives. But in another way, as a defense against antitrust charges, it’s a positive.
“That’s an argument against monopoly that bodes well for Google,” he said.
Hamza Shaban is a reporter for Yahoo Finance covering markets and the economy. Follow Hamza on X @hshaban.
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