Google has been developing its own generative AI technologies while also investing in promising AI companies such as Anthropic to stay ahead in the AI race. However, the company is under investigation by the U.S. Department of Justice (DOJ) for alleged antitrust violations and has been required to submit documentation and files for the case.
Google has invested over $3 billion in AI startup Anthropic and plans an additional $750 million investment through convertible debt in September. The U.S. Department of Justice is scrutinizing Google’s investments to assess potential antitrust law violations. Legal filings accessed by The New York Times reveal Google’s strategies to maintain its market dominance amid ongoing antitrust investigations.
The New York Times got access to legal filings, revealing the giant’s strategies to gain leverage in the market. Google’s investments have been under evaluation to determine whether the company has been using its power to take advantage of the market. “A big company like Google knows that there is a race to A.I., and it has a big enough cash pile that it can bet on multiple horses,” said Chris V. Nicholson, an investor with the venture capital firm Page One Ventures who focuses on A.I. technologies, to the New York Times. While Google doesn’t have much control over Anthropic—and cannot surpass a 15% ownership—it is still willing to keep investing. According to the documents reviewed by the journal, both companies have made multiple agreements, including a 2023 agreement of a $2 billion investment.
