AI Search: Perplexity, Google AI Mode, ChatGPT Search — 2026-09-08
EU regulators are intensifying scrutiny on AI search engines, with the European Commission quizzing publishers on Google's AI opt-out mechanisms and the EU Digital Services Act designating ChatGPT as a "Very Large Online Search Engine." Meanwhile, legal pressures mount as *The Seattle Times* and *Newsday* sue OpenAI and Microsoft, and Perplexity faces new copyright challenges amid a pivot to agents that has tripled its revenue.
AI Search: Perplexity, Google AI Mode, ChatGPT Search — 2026-09-08
Top developments
EU Regulators Probe Google’s AI Opt-Out Mechanics
On September 1, 2026, EU antitrust regulators began formally questioning publishers about the effectiveness of Google’s opt-out options for AI Overviews and AI Mode. This inquiry follows a world-first conduct rule imposed by the UK’s Competition and Markets Authority (CMA), which obliges Google to allow publishers to block their content from AI features without suffering a penalty in traditional search rankings. For publishers and SEO professionals, this signals a potential global standard where "opting out" of AI answers no longer necessitates "opting out" of visibility.
Seattle Times and Newsday Sue OpenAI and Microsoft
In a significant escalation of the copyright wars, The Seattle Times and Newsday filed a lawsuit against OpenAI and Microsoft just two days ago, demanding the destruction of AI models built on their copyrighted works. This move adds to the growing list of media entities challenging the legality of training data usage, joining previous actions by major players like CNN and the New York Times. The suit specifically targets the integration of news content into AI-generated outputs, threatening the supply chain for AI answer engines that rely on high-quality journalistic sources.
EU DSA Designates ChatGPT a "Very Large Online Search Engine"
The EU Digital Services Act (DSA) has officially designated ChatGPT as a Very Large Online Search Engine (VLOSE), establishing a compliance template that will likely extend to Google Gemini, Perplexity, and Anthropic’s Claude once they exceed 45 million EU users. This classification imposes strict transparency and risk assessment obligations on these platforms. Germany’s ZAK national media ruling is also adding parallel enforcement pressure, creating a complex regulatory landscape for AI search providers operating in Europe.
Perplexity Pivots to Agents, Triples Revenue to $750M
Despite facing multiple lawsuits, AI startup Perplexity has reported tripling its annualized revenue to $750 million by pivoting from a pure search engine toward agentic workflows. Reports indicate that Nvidia is now seriously considering an investment in the company. This financial resilience suggests that while legal battles over copyright continue, the market value of AI search capabilities remains high, particularly when bundled with autonomous agent features that users are increasingly adopting for task completion rather than just information retrieval.
Local view
German tech media highlights the tension between Google's expanded AI Overview real estate and publisher traffic. etailment.de reports that Google is now displaying AI answers in full length for selected queries, removing the "Show more" click barrier and further reducing opportunities for user engagement with original sources. This aligns with broader European concerns raised by the European Publishers Council regarding the abuse of dominant position in general search services through AI integration.
Context & numbers
Recent studies underscore the severity of traffic displacement caused by AI search interfaces. A study by Previsible analyzing 6.77 million sessions found that AI discovery traffic is highly concentrated and volatile, challenging the reliability of AI referrals for advertisers. Additionally, data indicates that zero-click searches have surged, with 68.01% of Google searches ending without a click in the first four months of 2026, a trend exacerbated by AI Overviews and instant answers.
On the radar
- EU Compliance Deadlines: Watch for specific compliance reports from Google Gemini and Perplexity as they approach the 45 million EU user threshold, which will trigger VLOSE status under the DSA.
- CMA Enforcement: The UK's CMA will likely release further guidance or enforcement notices regarding Google's adherence to the new conduct rule requiring opt-outs without ranking penalties.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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