Latest news with #DOJ
Miami Herald
2 hours ago
- Business
- Miami Herald
Google search judge scrutinizes AI power in trial resolution
The federal judge who will decide how to limit Google's monopoly in search is considering its advantage in artificial intelligence too, and aiming to limit harm to the other players in the market with any resolution. On Friday in U.S. District Court in Washington, attorneys for Alphabet Inc.'s Google and the Justice Department answered Judge Amit Mehta's final questions in the government's monopoly case against the search giant. It will be up to Mehta to decide whether to break up the company and reshape the internet or impose more limited penalties. Mehta's first questions to the government focused on whether curbing Google's position in generative AI was a fitting way to address the company's dominance in search, He also mulled the possibility of Google being forced to share key data with rivals and banning it from paying to make its search engine the default on other devices. "Does the government believe that there is a market for a new search engine to emerge as we think of it today?" he asked. "Do you think somebody is going to come off the sidelines and build a new general search engine in light of what we are now seeing happen in the AI space?" "The short answer is yes, your honor," Justice Department lawyer David Dahlquist responded. "We do believe that these remedies that will be proposed will allow that opportunity to occur. The reason we are so focused on gen AI, and the reason you heard a lot of evidence about it, is because that is the new search access point." The questions focused on the Justice Department's proposal for forward-looking, long-term measures to resolve Google's conduct in the market, which Mehta ruled last year was an illegal monopoly of the online search market. Antitrust regulators have argued that Google's dominance in traditional search could extend to generative AI, which is becoming a key gateway for how users access information online. Exclusive agreements Central to the case are agreements with Apple Inc. and others in which Google pays billions of dollars annually to be the default search engine on the iPhone maker's devices. The DOJ is seeking a bar on those payments, which would also apply to Google's artificial intelligence products, including its flagship AI model, Gemini. Google's counterproposal would still allow for the company to split revenue with competing browsers. The company's lawyers have said that banning Google from competing for search distribution contracts only serves to help large rivals like Microsoft at the expense of consumers, browser companies and device makers. Mehta told the DOJ that if he were to cut off Google's payments to Apple, Mozilla and others to distribute its search engine, it would cause widespread market harm. "Every single distribution partner said, 'This would harm us.' Some have gone so far to suggest this would put them out of business," Mehta said. "Is that an acceptable outcome, to fix one market and harm others?" he asked, referring to the browser and device maker industries. "That's a fair question," Dahlquist replied. But "that is asking the court to put private interests ahead of the public interest." He added that the government does not "dispute the possibility of some private impact." Mehta asked if it would work to create any exceptions to the payment ban, a possibility Dahlquist rejected, saying that even Apple's Eddy Cue wasn't fully opposed to the government's proposals. Apple stands to lose tens of billions of dollars in annual payments from Google if the DOJ's proposals are to be adopted and revenue sharing is paused for the next 10 years. "I think you're right that Mr. Cue wants more choice and he may be willing to be paid less money" for more choice, Mehta responded. "I just don't know whether he wants to live in a world where he can't get paid anything for no choice." The company's lead lawyer John Schmidtlein objected to any payment ban. "Banning the payments here would not be addressing the unlawful conduct," he said. "It would not be connected to the violation in this case." Existential threat AI chatbots are already seen as an existential threat to traditional search engines, as they can address users' questions directly with AI-drafted responses - replacing the need to present people with a long list of search results pointing across the web. Google has argued that the government's proposals are too extreme, saying they would hurt American consumers and the economy, as well as weaken U.S. technological leadership. Google argues that it is the market leader in search because of more than 20 years of innovation. It says people use its service because it is the best. Schmidtlein asserted on Friday that the court should focus on addressing the specific conduct found to be illegal, rather than imposing extensive remedies - including on Google's generative AI products - that he said could fundamentally restructure the market. But Mehta also appeared skeptical of the tech giant's argument for more limited remedies, indicating he is seriously considering including AI-related measures in his decision. "It seems to me that to simply say, 'look, just open up the avenues of distribution,' without providing any further remedies that are forward-looking and that would allow competitors to actually be rivals here, sells the remedy portion of this short," Mehta commented. Schmidtlein countered that gen AI products are not in the relevant market for search. "There is no evidence that gen AI products have been harmed by any of the conduct issue in this case," he said. "They couldn't have been, they weren't around, right?" Perplexity, OpenAI As the trial unfolded in April and May, some representatives from AI companies told the court they are already being stymied by Google. Perplexity's Dmitry Shevelenko testified that Google's contract with Lenovo Group Ltd.'s Motorola blocked the smartphone maker from setting Perplexity as the default assistant on its new devices. Motorola "can't get out of their Google obligations and so they are unable to change the default assistant on the device," the Perplexity executive said. Representatives of two prominent AI startups - OpenAI and Perplexity AI - also testified their companies would be interested in buying Chrome if Google were forced to divest it. Much of the discussion in the first part of the day focused on what data, and how much of it Google would be forced to syndicate to rivals so they can build their own search engines. Alphabet CEO Sundar Pichai testified in April that the Justice Department's proposal to share search data with rivals constituted a "de facto" divestiture of the company's search engine. On Friday, Mehta told government lawyer Dahlquist that he is "not looking to kneecap Google" but to instead bolster potential competitors. "We are trying to kickstart competitors, we are not trying to put them on equal footing on day one." ___ Copyright (C) 2025, Tribune Content Agency, LLC. Portions copyrighted by the respective providers.
Yahoo
4 hours ago
- Business
- Yahoo
Two Utah men charged with supporting Mexican cartel designated as terrorist group
Two family members were charged with conspiring to support a Mexican cartel designated as a terrorist organization. Maxwell Sterling Jensen, 25, and James Lael Jensen, 68, both from Sandy, Utah, were charged with conspiring to materially support a Mexican cartel designated as a terrorist organization and conspiracy to commit money laundering, as well as related smuggling charges. According to the Department of Justice (DOJ), the pair allegedly provided material support to the Jalisco New Generation cartel. The men allegedly conspired to conceal and disguise the source of proceeds from illegally smuggled crude oil, in addition to aiding and abetting the fraudulent entry of 2,881 shipments of oil. The DOJ said they allegedly operated an enterprise in Rio Hondo, Texas, named Arroyo Terminals. When the men were arrested, authorities seized four tank barges that contained crude oil, as well as three commercial tanker trucks, one personal vehicle and an Arroyo Terminal pickup. Violent Mexican Drug Gang's High Ranking Members Sanctioned By Trump The Jalisco cartel was designated as a foreign terrorist organization on Feb. 20 by the State Department. Read On The Fox News App Prosecutors said they intend to seek a $300 million judgment if the men are convicted. If found guilty, the men could face over 20 years in prison. Bondi, Patel Announce Seizure Of Over $509M In Cocaine Linked To Cartels William Kimbell, acting special agent in charge of the Drug Enforcement Administration in Houston, said their arrests came from an investigation initially looking into drug trafficking. "What began as a Drug Enforcement Administration (DEA) drug trafficking investigation evolved into a multifaceted case involving an alleged complex criminal operation generating millions of dollars from crude oil — the largest funding source for Mexican drug cartels," Kimbell said. "Given the charges have profound implications for both the United States and Mexico, we will continue to explore all leads and identify any believed to be involved. The collaboration with federal law enforcement, prosecutors and state agencies proved critical to unraveling these alleged crimes and will continue until such operations are destroyed." Fox News Digital reached out to attorneys representing Maxwell Jensen and James Jensen for article source: Two Utah men charged with supporting Mexican cartel designated as terrorist group
Yahoo
5 hours ago
- Business
- Yahoo
All Charges Dismissed Against Dr. Kingsley R. Chin and His Companies as DOJ Case Concludes
After a multi-year DOJ investigation, all criminal charges against Dr. Kingsley R. Chin and his medical device company, SpineFrontier, have been dismissed, allowing him to focus on transforming spine care and improving patient outcomes. FORT LAUDERDALE, Fla., May 30, 2025 /PRNewswire/ -- All criminal charges have been dismissed against Dr. Kingsley R. Chin and his medical device companies, bringing an end to a multi-year investigation by the U.S. Department of Justice (DOJ). The case began in 2016 after three former employees, acting as whistleblowers under the False Claims Act, triggered a civil inquiry into Dr. Chin and SpineFrontier , the company he founded and led as CEO since 2006. That civil matter was fully resolved in November 2023. In 2021, the DOJ initiated a separate criminal investigation. In early 2025, charges against SpineFrontier were formally dismissed. By May 2025, the DOJ moved to dismiss all remaining charges against Dr. Chin. "All of the charges in the Indictment and Superseding Indictment against Dr. Chin have been or are going to be dismissed, as the case resolved for a lesser charge," stated Dr. Chin's legal counsel in a recent interview. Dr. Chin is a Harvard-trained professor and board-certified orthopedic spine surgeon and a graduate of Harvard Business School. He is widely recognized for pioneering Less Exposure Spine Surgery (LESS™), a philosophy that advances outpatient spine care and empowers physician-led medical innovation. With this legal chapter now coming to a close, Dr. Chin remains focused on transforming spine care and improving patient outcomes through continued innovation and leadership in the medical technology field. About SpineFrontier in 2006, SpineFrontier was built on a foundation of collaboration and innovation. Along with its strategic advisory board of spine surgeons, the company developed a portfolio of Less Exposure Spine Surgery (LESS) technologies designed to improve patient outcomes and simplify procedures for outpatient spine surgery. About KIC in 2013 as the venture arm of Kingsley Investment Company (KIC) LLC, KIC Ventures focuses exclusively on advancing outpatient spine surgery through its Less Exposure Spine Surgery (LESS™) philosophy. With a portfolio of innovative spine technologies and a commitment to empowering physicians, KIC Ventures has become the world's largest private equity firm with a majority-owned portfolio of differentiated spine companies focused on outpatient spine solutions. View original content to download multimedia: SOURCE KIC Ventures Sign in to access your portfolio
Yahoo
6 hours ago
- General
- Yahoo
Government employee held after attempt to share classified information with foreign country
A government employee in Virginia accused of attempting to share classified information with a foreign country was held pending a detention hearing, and could face up to life in prison, or even death, depending on the details of the case brought against him, according to the U.S. Department of Justice (DOJ). Virginia-based Magistrate Judge William Fitzpatrick ordered that 28-year-old Nathan Laatsch be held pending a detention hearing scheduled for June 4. Laatsch allegedly attempted to transmit classified national defense information or documents to a foreign government. Depending on the details of the case, Laatsch faces "any term or years, or life…or even death," according to DOJ prosecutor Gordon Kromberg. Us It Specialist Arrested After Attempting To Share Classified Information With Foreign Government: Doj Laatsch, an IT specialist employed by the Defense Intelligence Agency (DIA) since 2019, appeared in court on Friday wearing street clothes, which were presumably the same clothes he wore when he was arrested the day before. Read On The Fox News App He was arrested after the FBI received a tip in March that someone was willing to provide classified information to a friendly foreign government. Laatsch was a civilian employee in the DIA's Insider Threat Division and held a top-secret security clearance, according to the DOJ. Former Us Army Intelligence Analyst Sentenced For Selling Sensitive Documents To Chinese National An email to the FBI said that the person — later identified as Laatsch — didn't "agree or align with the values" of the Trump administration and would be willing to share classified information that he could access, including "completed intelligence products, some unprocessed intelligence, and other assorted classified documentation." Laatsch communicated with an FBI agent, whom he believed to be a foreign government official, multiple times and would confirm that he was ready to share classified information that he transcribed onto a notepad at his desk, the DOJ said. He allegedly exfiltrated the information from his workspace multiple times over a three-day period in preparation. The FBI set up an operation at a northern Virginia park where Laatsch was to deposit classified information "for the foreign government to retrieve," according to the DOJ. He was observed by the FBI on or around May 1 depositing an item at the specified location. Pentagon Leaker Jack Teixeira Receives 15 Years For Secrets Leak Once he left, the DOJ said FBI agents retrieved a thumb drive from the area found to contain a message from Laatsch and multiple typed documents with information portion-marked for Secret or Top-Secret levels. His message allegedly indicated that he was sharing "a decent sample size" of classified information to demonstrate the types of things he has access to. On May 7, after Laatsch learned that the thumb drive had been retrieved, he allegedly sent a message to the undercover agent appearing to say that he was seeking something in exchange for providing the information. The following day, he specified that he was interested in "citizenship for your country" because he didn't expect things in America "to improve in the long term," the DOJ said. He also allegedly said he was "not opposed to other compensation," but not in a place where he needed "material compensation." Laatsch was told on May 14 by the FBI agent that the "foreign government" was ready for additional classified information. Between May 15 and May 27, he transcribed more information and began to remove it from the building by folding the notes and hiding them in his clothing. On Thursday, Laatsch arrived at a prearranged location in northern Virginia to drop the information off to the "foreign country." He was arrested once the FBI received the documents. Fox News Digital's Elizabeth Pritchett contributed to this article source: Government employee held after attempt to share classified information with foreign country
Yahoo
7 hours ago
- Business
- Yahoo
AI dominates as judge weighs penalties in Google search case
A federal judge grappled Friday with the way artificial intelligence (AI) is rapidly changing the internet, as he weighed what penalties Google will ultimately face for illegally monopolizing search. Google and the Department of Justice (DOJ) presented their closing arguments following a three-week hearing to determine the proper remedies after the tech giant was found to have improperly maintained its search monopoly through a series of exclusive agreements. U.S. District Judge Amit Mehta peppered both sides with questions over eight hours Friday, focusing heavily on what AI means for Google and the search market. The DOJ has argued that Google's dominance over search gives it a leg up in the AI race. It has pushed for more forward-looking remedies, including forcing the company to sell its Chrome browser. Google has contested this assertion, underscoring the competition it faces in the AI space from the likes of OpenAI's ChatGPT, xAI's Grok, and DeepSeek. It has suggested a much more limited set of remedies that would bar the company from entering into the exclusive agreements the court deemed anticompetitive. Mehta appeared skeptical of Google's proposed remedies, noting they 'could have all closed up shop' if he simply needed to issue an injunction blocking the company's exclusive agreements with device manufacturers and browsers. However, the judge didn't seem entirely convinced by the DOJ's wide-reaching proposal either, pushing the government to explain how AI fits into the search case. David Dahlquist, the government's lead attorney, dismissed Google's proposal Friday as 'milquetoast remedies that it knows will maintain the status quo.' He argued the remedies can go beyond the confines of the search market identified in the case to prevent Google from taking advantage of its existing market power, underscoring the way generative AI could drive more users to its search engine. 'We do not have to have complete blinders as to what's going on in the rest of the world, and we should not,' Dahlquist said. Google seemed keen to get ahead of these concerns, noting that as part of its own proposal, it would not enter into exclusive agreements with its AI chatbot Gemini. 'Gen AI technology is influencing how search looks today,' John Schmidtlein, Google's lead attorney, said Friday. 'To the extent the court was concerned that somehow gen AI products could in the future find themselves in the relevant market … we're addressing it.' AI was central to Google CEO Sundar Pichai's testimony last month, in which he detailed the push to make Google an 'AI-first company.' 'I'm pleased with the progress [on AI], but we have a big gap between us and the market leader in this space,' he said at the time, referring to OpenAI, which recently beat out Google for a deal with Apple. Since Pichai's appearance on the stand, Google has rolled out a new feature further integrating AI into its search engine. The new 'AI Mode' tab gives users a chatbot-like experience within Google Search. Mehta separately pressed the two sides Friday on the DOJ's data-sharing and syndication proposals. The government has pushed for Google to share search data and syndication to boost potential competitors. When questioned by the judge, the DOJ acknowledged that AI rivals such as OpenAI and Perplexity could also receive access to this data. Google has resisted almost any form of data-sharing, arguing it exposes the company's intellectual property and poses numerous privacy problems. But Schmidtlein gave some credence to the idea of a 'tailored' approach to syndication Friday. The search giant is struggling to maintain hold of its tech empire in the face of dual antitrust cases. Just days before Google was set to appear in court for the remedies hearing, a separate judge ruled the company had an illegal monopoly over advertising technology. Google ultimately plans to appeal the decisions in both cases, but it has to wrap up remedies first. Mehta has previously said he hopes to rule by August, and the remedies trial in the ad tech case is set for September. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
