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US Justice Department seeks to unwind Google’s Anthropic deal

Bloomberg
Bloomberg • 2 min read
US Justice Department seeks to unwind Google’s Anthropic deal
Google pledged to invest US$2 billion ($2.69 billion) in Anthropic last year. As part of the deal, Google gained non-voting shares and certain consultation rights on significant business issues. Photo: Bloomberg
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Alphabet Inc.’s Google would be forced to unwind its partnership with artificial intelligence startup Anthropic if a federal judge accepts the US Justice Department’s proposal to resolve a landmark antitrust case over online search.

The Justice Department and a group of attorneys general recommended in a court filing Wednesday that Google be barred from acquiring, investing in or collaborating with any company that controls where consumers search for information, including query-based AI products. The provision is intended to apply to Google’s Anthropic investment, according to people familiar with the Justice Department’s thinking who spoke on condition of anonymity to discuss private information.

The Justice Department’s proposals are part of a broader effort to curb Google’s alleged monopoly over online search. In the court filing, antitrust enforcers said Google must divest Chrome, citing a judge’s earlier ruling that the browser “fortified” the company’s dominance. 

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