Anthropic, a startup focused on AI and a partner of Google, announced on Friday that the proposal from the Department of Justice (DOJ) to limit investments by Google in AI startups could hinder competition in online search markets.
According to court documents filed in Washington, requiring Google to notify the DOJ ahead of its AI investments and partnerships would impose “significant barriers” to funding smaller AI firms and might effectively halt such investments altogether.
Google possesses minority stakes in Anthropic valued at billions of dollars.
US District Judge Amit Mehta is currently deliberating on how Google might alter the online search marketplace. In August, he determined that the tech giant holds an illegal monopoly.
Both the DOJ and state attorneys general have raised worries about Google potentially amplifying its dominance in the AI sector.
Anthropic contended that the DOJ’s proposal “does not negatively impact AI competition.” They argued that without Google’s support and investments in companies like theirs, major tech players could monopolize AI advancements, limiting options for developers and consumers.
Industry groups, including Engine Advocacy and Technet, have joined Anthropic in voicing their concerns.
The DOJ has urged Mehta to require Google to take several measures, such as sharing search data with rivals, selling its Chrome browsers, and ceasing substantial payments to companies that designate Google as the default search engine.
Previous DOJ proposals have suggested that Google divest from its AI investments.
Google has maintained that its contract arrangements are non-exclusive.
