Google's talks with Trump over lawsuit have Democrats concerned about possible 'quid-pro-quo' deal

CNBC

4 days ago

Senate Democrats, including Elizabeth Warren of Massachusetts, are asking Google and its YouTube unit whether discussions with lawyers for President Donald Trump have included the possibility of settling a censorship suit in exchange for potentially favorable treatment from the administration.
In a letter sent Thursday to Google CEO Sundar Pichai and YouTube CEO Neal Mohan, the senators asked the executives about conversations with President Trump's lawyers over an ongoing lawsuit that was filed by Trump more than four years ago, accusing the online video platform of unlawful censorship.
The lawsuit stemmed from the suspension of Trump's accounts on social media sites after the January 6, 2021, attack on the U.S. Capitol. Trump filed suits against Facebook, Twitter, and YouTube later that year.
The senators highlighted reports of a court filing from May indicating that lawyers representing YouTube and President Trump were "engaged in productive discussions." In that filing, the two parties asked the judge to delay a June court hearing until Sept. 8.
"We are concerned about the possibility that Google could settle the lawsuit against YouTube in a quid-pro-quo arrangement to avoid full accountability for violating federal competition, consumer protection, and labor laws, circumstances that could result in the company running afoul of federal bribery laws," the letter states.
Twitter (now X) and Facebook (now Meta) settled lawsuits with Trump this year, for about $10 million and $25 million, respectively. Trump's 2021 suit claimed unconstitutional censorship after his accounts were suspended. A judge dismissed the Twitter case in 2022, but Trump appealed.
Under the 1996 Communications Decency Act, social media platforms are allowed to moderate content on their platforms and exempt themselves from liability for the material that users post.
The senators noted in their letter that Google is a defendant in multiple unfair labor and antitrust lawsuits brought by the U.S. government. It also pointed to the company's donation of $1 million to President Trump's inaugural fund, and noted that Pichai attended the president's inauguration and dined with him at Mar-a-Lago.
Google currently faces the potential of being broken into parts, after the company lost an antitrust case last year brought by the Department of Justice related to Google's dominance in search.
The company argued that any kind of breakup could result in the U.S. ceding tech competition to China. The judge is expected to rule on the penalties this month.
Google also has several open cases from the National Labor Relations Board, alleging unfair labor practices, the senators said.
"The company has substantial interests in almost every aspect of the federal government, from tax policy to energy and environmental policy, and much more," they wrote. "Google stands to benefit from how the federal government proceeds in these matters, and Google may settle this lawsuit in the hopes of securing outcomes favorable to the company."
Despite calls for answers, Democratic senators have limited ability to force action as Republicans control the White House and both houses of Congress.
Google didn't immediately provide a comment.