Chegg, an 18-year-old education technology company, has filed a lawsuit against Google, claiming that the tech giant's AI Overviews have negatively impacted its website traffic, revenue, and workforce. Chegg's CEO Nathan Schultz stated that Google's practices have blocked traffic that would typically come to Chegg. The lawsuit presents three key arguments: reciprocal dealing, where Google demands Chegg's content for inclusion in search; monopoly maintenance, which highlights Google’s anti-competitive behavior; and unjust enrichment, as Google profits from Chegg’s content without compensating it. Chegg has retained Goldman Sachs and Susman Godfrey to assist in the legal proceedings.
Chegg's complaint against Google highlights issues of reciprocal dealing, monopoly maintenance, and unjust enrichment due to Google's AI-generated content impacting Chegg's traffic.
The lawsuit argues that Google retains Chegg's traffic through its AI Overviews, significantly affecting Chegg's revenue, acquisitions, and workforce.
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