For end users, Google’s AI Overview is almost like a godsend. No more digging through websites to find simple answers to your question. However, publishers beg to differ. If users no longer need to click to get their information, they lose out on a lot of traffic, and in turn, advertising revenue. This is why Rolling Stone parent company, Penske Media Corporation, is filing a lawsuit against Google over its AI Overview feature.
Google hit with lawsuit by Rolling Stone parent company
However, the use of Google AI Overview has led to a decline in traffic, not just for their publications, but for a lot of other websites. This is why the Rolling Stone parent company is filing a lawsuit against Google.
According to Penske Media CEO Jay Penske, “As a leading global publisher, we have a duty to protect PMC’s best-in-class journalists and award-winning journalism as a source of truth. Furthermore, we have a responsibility to proactively fight for the future of digital media and preserve its integrity — all of which is threatened by Google’s current actions.”
This lawsuit marks the second time Google has been sued over its AI Overview feature. Earlier this year, Chegg, an educational company, filed a lawsuit alleging 24% revenue loss .
Google is saying otherwise
It makes sense that publishers are claiming to see a drop in traffic because of AI features. Imagine being able to learn about a topic and have it explained to you in simple terms by asking ChatGPT. That can easily be accomplished in minutes, versus the hours you might have to spend if you did it yourself.
So, if users can use AI to get what they need, it makes sense that they are no longer clicking on websites in search results. But Google is saying otherwise. In response to the lawsuit, Google spokesperson José Castañeda said, “Every day, Google sends billions of clicks to sites across the web, and AI Overviews send traffic to a greater diversity of sites. We will defend against these meritless claims.”
This echoes what Google said last month, where it insisted that click volume remained “relatively stable” despite AI features.