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May 2, 2026 - 2:06 PM

Google Strikes New Deal With Character.AI Amid AI Scrutiny

Google has reached a non-exclusive licensing agreement with Character.AI, a startup specializing in language model technology. 

As part of the deal, Google will provide additional funding to Character.AI.
The company’s co-founders, Noam Shazeer and Daniel De Freitas, will return to Google, while Dominic Perella will step in as interim CEO of Character.AI.
This agreement comes at a time when regulators in the U.S. and Europe are closely examining recent AI deals by major companies like Microsoft and Amazon.
They are concerned about the growing concentration of AI resources and talent.
Character.AI, which had previously secured $193 million in venture capital from investors such as Andreessen Horowitz, is now part of a broader trend where tech giants acquire startups to gain advanced technology and expertise.
Doris Israel Ijeoma
Doris Israel Ijeoma
Doris Israel Ijeoma is a graduate of the Nigerian Institute of Journalism, Lagos. She writes Tech, Political, Business and Entertainment Articles. dorisisrael5@gmail.com
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