DOJ Drops Proposal to Force Google AI Investment Sell-Off

The U.S. Department of Justice withdrew its proposal to force Google to sell its investments in AI firms like Anthropic. While still pressing for Chrome's divestiture, the DOJ demands prior notice of Google's AI investments. A trial on the proposals is set for April.

The U.S. Department of Justice on Friday withdrew its proposal to mandate Alphabet's Google to divest its investments in artificial intelligence companies, aiming to enhance competition in online search.

The DOJ continues to seek a court order compelling Google to sell its Chrome browser, among other measures, addressing Google's alleged illegal search monopoly as per recently filed court documents in Washington.

Google, holding a multi-billion dollar minority stake in Anthropic, argued in February that losing this investment would advantage OpenAI and partner Microsoft. The DOJ had initially suggested the measure last November, and in the latest proposal, requires Google to notify the government before making further generative AI investments. The case awaits a trial scheduled by U.S. District Judge Amit Mehta for April.

(With inputs from agencies.)