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Chegg Sues Google Over AI Summaries, Citing Unfair Competition

  • Educational technology company Chegg has filed a lawsuit against Alphabet Inc.'s Google, alleging that the tech giant's AI-generated search summaries are undermining original content creators and diverting traffic away from educational platforms.
  • Chegg claims that Google's AI overviews significantly decrease the need for users to visit source websites, resulting in a decline in website traffic and subscribers for Chegg.
  • Chegg is considering strategic alternatives, including selling the company or going private, due to the impact of Google's AI overviews on its business.
  • Google counters Chegg's claims, stating that the AI overviews are designed to enhance the search experience and direct users to a variety of sources.

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