On April 24, Brazil’s competition authority, the Administrative Council for Economic Defense (CADE), announced it was opening an investigation to assess whether Google’s use of news content amounted to unfair competition practices against the Brazilian press.

The announcement was welcomed by civil society organizations that have long advocated for regulations to curb the unchecked power of Big Tech. Ajor, Brazil’s Digital News Association, stated:

“A balanced relationship between digital platforms and journalism organizations is fundamental to the flourishing of journalism committed to the public interest. By ensuring a fair competitive environment, CADE directly advances that goal.”

In both spirit and intent, CADE’s investigation into Google mirrors legislation in Australia, which recognized that news publishers are extracting value without proportionate compensation. In Brazil, the debate has persisted since 2019, but the adoption of AI Overviews shifted the perspective of Brazilian judges.

AI Overviews are artificially generated summaries that synthesize information from multiple sources and appear at the top of Google Search results. Judge Camila Cabral Pires Alves ruled that these overviews “raise potentially more concerns,” as they “may more profoundly alter the economic function of the interface and expand the ability to retain attention within the platform's own environment.”

CADE will now investigate whether Google should be sanctioned for “alleged abusive exploitation of a dominant position, in light of the technological evolution of the conduct.”

While global momentum builds to regulate AI’s impacts—even the Trump administration has acknowledged that some oversight may be necessary—CADE judges face significant pressure from Big Tech executives to halt investigations into how these companies’ market control harms Brazilian businesses.

For observers of Big Tech, this aggressive lobbying is not unexpected. Companies like Google, Meta, Twitter, TikTok, Amazon, and Microsoft have a history of interfering in legislation or decisions that threaten their interests across Latin America. A joint investigation by journalists in 13 countries revealed that Big Tech lobbyists successfully weakened child mental health protections in Colombia and stalled privacy regulations in Ecuador.

This investigation, part of the ‘Big Tech Lobby’ project, involved over 40 journalists and uncovered coordinated efforts to influence policy in the region and beyond.

Adding to the complexity, the U.S. government has threatened retaliation against countries or entities attempting to regulate Big Tech. Former President Donald Trump wrote on social media:

“Digital Taxes, Digital Services Legislation, and Digital Markets Regulations are all designed to harm, or discriminate against, American Technology. Show respect to America and our amazing Tech Companies or consider the consequences!”

Over the past year, Trump’s envoys have pressured governments worldwide to dilute or shelve regulations in exchange for lifting tariffs.

Source: Coda Story