Brazil's competition authority CADE announced on 24 Nisan that it has launched an investigation to examine whether Google's use of news content constitutes unfair competition against the Brazilian press. This decision was welcomed by civil society organizations that have for years advocated for regulations to limit the unchecked power of Big Tech companies. The Brazilian Digital News Association Ajor stated that a balanced relationship between digital platforms and news organizations is fundamental for the development of public-interest journalism. It was expressed that CADE is directly contributing to this goal by ensuring a fair competitive environment with this investigation.
CADE's Google investigation is similar in spirit and purpose to the law in Avustralya that acknowledges value is extracted without proportional compensation being paid to news publishers. This issue has been debated in Brazil since 2019, but the adoption of Google's AI-powered AI Overviews feature has helped change the perspective of Brazilian judges. These summaries are artificially generated summaries that synthesize information from multiple sources and appear at the very top of Google search results. Judge Camila Cabral Pires Alves warned that these summaries could more profoundly change the economic function of the interface and expand the platform's ability to retain attention in its own environment.
CADE will now investigate whether Google is abusing its dominant position in light of technological evolution. Although there is an increasing appetite globally to regulate the impacts of artificial intelligence, CADE judges are under significant pressure to halt investigations into how Big Tech executives' market controls harm Brazilian businesses. This situation shows that tech giants resort to aggressive lobbying activities to protect their interests.
It is not surprising that Big Tech companies try to intervene in any decision or law that could harm their interests in Latin America. According to a joint investigation by journalists from 13 countries, Big Tech lobbyists managed to weaken a rule aimed at protecting children's mental health in Kolombiya and to prevent the enforcement of privacy regulations in Ekvador. More than 40 journalists from 13 countries came together to uncover these lobbying activities.
The U.S. government's retaliation threats against countries wanting to regulate Big Tech have added a new dimension to the already complex relationship with Silikon Vadisi. Donald Trump, stating that digital taxes and regulations are designed to harm American technology, said, "Show respect to America and our magnificent technology companies, or face the consequences." Throughout the past year, Donald Trump's envoys pressured dozens of governments worldwide to water down or shelve regulations in exchange for lowering tariffs.
Lobbying activities are quite intense in Brazil. The country has 163 million internet users, and more than 150 million of them use WhatsApp, while more than 120 million use YouTube, Instagram and Facebook. Brazil is also a large and impactful market for artificial intelligence. Portekizce is the sixth most spoken language in the world, and 70% of its speakers live in Brazil. This means that if a language model is trained in this language, it likely uses the content generated by millions of Brazilians during their daily activities such as making friends, discussing politics, and football. This is not just about journalists; we are all free labor.
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