German media regulator says Google's AI Overviews subject to German media law
German Media Regulator Steps Up Scrutiny of AI-Generated Content
BERLIN, July 14 (Reuters) - Germany's media regulator said on Tuesday that Google's AI Overviews and Perplexity AI are subject to the country's media laws, stepping up scrutiny of AI-generated content after a German court found Google liable for inaccurate information produced by the feature.
AI-Generated Content Classified as Provider-Created
The Commission for Licensing and Supervision, ZAK, which represents Germany's 14 state media authorities, said AI-generated news summaries and chatbot responses constitute content created by the providers themselves rather than merely displaying third-party material.
The ruling follows increased scrutiny of AI-generated search summaries in Germany and elsewhere in Europe.
Legal Rulings and Liability
Munich Court Decision
In a separate case, a court in Munich held that Google could be directly liable for allegedly false statements generated by its AI Overview feature, finding that AI-produced summaries amounted to the company's own content rather than a mere display of third-party information, according to German newspaper publishers' association BDZV.
Statements from ZAK
"AI search engines and chatbots are content providers, and we will consistently apply German media law to them from now on," ZAK Chairman Thorsten Schmiege said in a statement.
Implications for Media Law and Platforms
Exemption Under Digital Services Act
The regulator said the liability exemption under the European Union's Digital Services Act, which generally shields platforms from responsibility for illegal user-generated content, did not apply in these cases.
Impact on Search Results and Media Content
According to the regulator, Google's AI Overviews are displayed prominently within search results, making traditional lists of links less visible and thereby unfairly disadvantaging third-party media content.
Influence of Chatbots on News Discoverability
It also argued that chatbots such as Perplexity influence the discoverability of news content when they select and present sources, links or recommendations alongside AI-generated answers.
Media Intermediary Status
Such services could therefore qualify as media intermediaries and be subject to rules designed to safeguard media plurality.
Responses from Google and Perplexity
Google's Reaction
Google said it planned to appeal the decision, which a spokesperson said "fails to recognise how people's preferences when searching for information and the information ecosystem are changing."
"Our AI-powered summaries enhance the search experience in Germany - they help users discover new content and ask follow-up questions," the spokesperson said.
Perplexity's Statement
Perplexity declined to comment on the decision but said it complies with the EU's privacy rules, or GDPR, and holds SOC 2 Type II security and privacy certification.
(Reporting by Klaus Lauer, Writing by Friederike Heine, Editing by Louise Heavens)
