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Google is facing antitrust investigations due to its acquisition of AI Bots.
PANews reported on May 23 that, according to people familiar with the matter, the U.S. Department of Justice is investigating whether Google (GOOG.O) violated antitrust laws because the company agreed to use artificial intelligence technology from a popular chatbot manufacturer. Antitrust enforcement agencies have recently informed Google that they are reviewing whether the structure of the deal it has structured with Character.AI companies is intended to circumvent formal government merger reviews, people familiar with the matter said. Under an agreement reached last year, the chatbot maker's founders joined Google, which also received a non-exclusive license to use the technology. A Google spokesperson said in an emailed statement, "We are always happy to respond to questions from regulators." The addition of Character.AI talent is exciting, but Google doesn't own an equity stake in it, and the company remains independent. "Even if a transaction does not require formal review, the DOJ has the power to investigate whether it constitutes anti-competitive conduct. It is reported that the investigation, which is currently in its early stages, has not brought allegations of misconduct against Google, and it is also possible that no enforcement action will be taken in the end.