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Google’s New AI-Powered Customer Service Tools Spark Back-to-Back Class Action Lawsuits

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Google’s New AI-Powered Customer Service Tools Spark Back-to-Back Class Action Lawsuits

Zion Mercado 

 

Google recently began rolling out “human-like generative AI powered” customer service tools to help companies enhance their customer service experience.[1] This new service is known as the “Cloud Contact Center AI,” and touts a full package of customer service-based features to help streamline customer service capabilities.[2] Companies who utilize the new service  can create virtual customer service agents, access AI-generated insights providing feedback on customer service interactions, store and manage data on a specialized “Contact Center AI Platform,” and consult with Google’s team of experts on how to improve the AI-integrated systems.[3] However, one key feature that has recently come into controversy is the ability for customers to utilize real-time AI-generated responses to customer inquiries which can then be relayed back to the customer by a live agent.[4] This is known as the “Agent Assist” feature.

Agent Assist operates by “us[ing] machine learning technology to provide suggestions to . . . human agents when they are in a conversation with a customer.”[5] These suggestions are based on the company’s own data and conversations.[6] Functionally, when Agent Assist is in use, there are two parties to the conversation: the live customer service agent, and the customer. The AI program listens in and generates responses in real time for the live customer service agent. Some have argued that this violates California’s wiretapping statute by alleging that the actions of Google’s AI program, which is nothing more than a complex computer program, are attributable to Google itself.[7] Those who have done so have alleged that Google, through its AI-integrated services, has been listening in on people’s conversations without their consent or knowledge.[8]

The wiretapping statute in question is a part of the California Invasion of Privacy Act (“CIPA”), and prohibits the intentional tapping, reading, or any other unauthorized connection, whether physically or otherwise, with any communication being transmitted via line, wire, cable, or instrument without the consent of all parties to the communication.[9] It is also unlawful under the statute to communicate any information so obtained or to aid another in obtaining information via prohibited means.[10]

In 2023, a class action lawsuit was filed against Google on behalf of Verizon customers who alleged that Google “used its Cloud Contact Center AI software as a service to wiretap, eavesdrop on, and record” calls made to Verizon’s customer service center.[11] In the case, District Court Judge Rita F. Lin granted Google’s motion to dismiss on grounds that the relationship between Google and Verizon and the utilization of the Cloud Contact Center AI service fell squarely within the statutory exception to the wiretapping statute.[12] Now, the wiretapping statute does contain an explicit exception for telephone companies and their agents, which is the exception upon which Judge Lin relied; however, that exception is narrowed to such acts that “are for the purpose of construction, maintenance, conduct or operation of the services and facilities of the public utility or telephone company.”[13]

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U.S. v. Google LLC: An overview of the landmark antitrust case and its impact on consumer privacy, A.I., and the future of the internet.

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U.S. v. Google LLC: An overview of the landmark antitrust case and its impact on consumer privacy, A.I., and the future of the internet.

By William Simpson

 

I. Intro

The ongoing antitrust case against Google alleging anticompetitive conduct relating to the company’s search engine could, in the near term, result in a breakup of the company or, alternatively, indicate that existing antitrust law is ill-suited to engage outsize market shares in the digital economy.[1] On a broader scale, this case could have major effects on consumer privacy, A.I., and the character of the internet going forward. The consequences could be, in a word, enormous.

 

II. Background

 

In October 2020, the Department of Justice (DOJ) filed a complaint against Google, alleging that Google violated the Sherman Antitrust Act[2] when it:

  • Entered into exclusivity agreements that forbid preinstallation of any competing search service;
  • Entered into tying arrangements that force preinstallation of its search applications in prime locations on mobile devices and make them undeletable;
  • Entered into long-term agreements with Apple that require Google to be the default general search engine on Apple’s popular Safari browser and other Apple search tools; and
  • Generally used monopoly profits to buy preferential treatment for its search engine on devices, web browsers, and other search access points, creating a continuous and self-reinforcing cycle of monopolization.[3]

The DOJ’s complaint concludes that such practices harm competition and consumers, inhibiting innovation where new companies cannot “develop, compete, and discipline Google’s behavior.”[4] In particular, the DOJ argues that Google’s conduct injures American consumers who are subject to Google’s “often-controversial privacy practices.”[5]

In response, Google refutes the DOJ’s argument, deeming the lawsuit “deeply flawed.”[6] “People use Google because they choose to,” says a Google spokesperson, “not because they’re forced to or because they can’t find alternatives.”[7] Challenging the DOJ’s claims, Google asserts that any deals that it entered into are analogous to those a popular cereal brand would enter into for preferential aisle placement.[8]

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The Legal Footholds of Three States and the District of Columbia Against a Technological Goliath

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Written by Hannah G. Babinski, Class of 2024 

I. Introduction

To no one’s surprise, Big Tech is in trouble yet again for attempting to overstep the boundaries of consumer privacy. From the notorious Facebook controversy involving Cambridge Analytica in 2018 to the most recent ballad of chronic misinformation stemming from Spotify’s perpetuation of Joe Rogan’s podcast, it seems that Big Tech’s complacency or even compliance with problematic practices connected to its online presence consistently leaves many Americans scratching their heads. Google is the latest tech conglomerate to stumble in the public arena.

This is not a historic moment for the California-based tech giant whose business model is heavily dependent on its prolific digital advertising, collection, surveillance, and auction of user data, including location tracking which alone earned the company an estimated $150 billion dollars in 2020.[1] In October 2020, the U.S. Justice Department and eleven states sued Google in federal court, alleging that Google abused its dominance over the search engine market—comprising 90% of web searches globally—and online advertising.[2] Then, in December of 2020, ten states separately sued Google in federal court on the grounds of alleged anti-competitive conduct.[3] Undoubtedly, Google’s utter electronic control over the online market is equally as impressive as it is troubling—a sentiment resounded by the bombardment of state-instigated suits—but it pales in comparison to the basis of the most recent lawsuit.

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