From CNBC: 2025-02-24 17:30:58

Chegg has filed a lawsuit against Google, claiming that AI summaries in search results have hurt their traffic and revenue. Former CEO Dan Rosensweig previously noted that students using OpenAI’s ChatGPT were impacting Chegg’s customer growth. Chegg reported a $6.1 million net loss on $143.5 million in fourth-quarter revenue, down 24% year over year. Despite the suit, Chegg is pursuing its own AI strategy utilizing partnerships with Meta, Anthropic, and Mistral, as well as OpenAI. Google’s AI Overviews are available in over 100 countries and have more than 1 billion users, showing up above search links. Chegg stated that Google holds a monopoly in the search market, citing a federal judge’s ruling last August. Google did not immediately respond to the lawsuit.



Read more at CNBC:: Chegg sues Google for hurting traffic as it considers alternatives