Rolling Stone Owner Sues Google Over AI Summaries, Citing Decline in Web Traffic
Penske Media, the parent company of Rolling Stone, Billboard, and Variety, has filed a landmark lawsuit against Google, accusing the tech giant of using its journalism without permission through AI-generated summaries that appear at the top of search results.
The suit, filed Friday in federal court in Washington, D.C., is the first by a major U.S. publisher targeting Google’s “AI Overviews” feature. Penske claims the tool not only republishes its content without consent but also diverts traffic away from its websites, threatening advertising and subscription revenue streams.
Penske, a family-owned company led by Jay Penske, says its network of publications draws more than 120 million monthly visitors. According to the complaint, Google conditions a publisher’s inclusion in its search results on allowing their articles to be used for AI summaries — giving the company leverage to avoid paying licensing fees.
The lawsuit cites a 2023 federal ruling that found Google controls nearly 90% of the U.S. search market, arguing that this dominance allows the company to impose unfair terms. Penske claims that roughly 20% of Google searches linking to its sites now feature AI Overviews, with that figure expected to grow. The publisher also reported a one-third drop in affiliate revenue by the end of 2024 as traffic declined.
“We have a responsibility to fight for the future of digital media and protect its integrity, which is under direct threat from Google’s current practices,” Jay Penske said in a statement.
Other companies have raised similar concerns. In February, online education firm Chegg sued Google, alleging its AI-generated summaries undermined demand for original content.
Google, however, defended the feature, saying it enhances the user experience and expands visibility for a broader range of websites.
“With AI Overviews, people find Search more helpful and use it more, creating new opportunities for content discovery,” said Google spokesperson Jose Castaneda. “We will defend against these meritless claims.”
The case comes amid growing tension between publishers and tech companies over AI. While firms like OpenAI have signed licensing deals with major outlets such as News Corp, The Financial Times, and The Atlantic, Google has been slower to pursue such agreements for its Gemini chatbot and other AI tools.
Danielle Coffey, CEO of the News/Media Alliance, which represents more than 2,200 publishers, said Google’s dominance leaves publishers at a disadvantage.
“When you have the massive scale and market power that Google has, you are not obligated to abide by the same norms as others,” Coffey told Reuters. “That is the problem.”
Google recently scored a rare legal win when a judge ruled it would not have to divest its Chrome browser in an ongoing antitrust battle over its search business — a decision that disappointed many publishers hoping for stronger competition safeguards.
The outcome of Penske’s lawsuit could set a precedent for how AI-driven platforms use journalistic content, potentially reshaping the future of digital media and search.
