"Penske's argument is pretty simple: by showing an AI-generated summary of an article at the top of the page via Google's AI Overview panel, users have little reason to click through to read the full article, resulting in dwindling traffic finding its way to the publisher's platforms, which it needs in order to monetize its content, either through ads or subscriptions."
"The lawsuit claims that Google now only indexes a website, making it available to appear in search, if the publisher agrees to give Google permission to use that content for other purposes, like its AI summaries. If you think you lose traffic by not getting clickthroughs on Google, just imagine how bad it would be to not appear at all."
Penske Media Corporation sued Google alleging that AI-generated search summaries reduce publisher clickthroughs and materially lower traffic needed to monetize content through ads and subscriptions. Penske contends that Google displays AI Overviews at the top of search results, eliminating user incentive to visit publisher pages. The lawsuit alleges Google conditions search indexing on publisher permission to let Google reuse content for AI summaries, effectively coercing publishers. Google denies the allegations, asserts AI Overviews make Search more helpful and create discovery opportunities, and says it will defend against the claims. The case centers on platform power, AI use, and publisher revenue impacts.
Read at gizmodo.com
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