US antitrust enforcers have stepped up an investigation into
Google's settlement with publishers over its book-scanning
project.
The US Justice Department has issued formal requests for
information to several of the parties involved, including Google,
according to the
New York Times.
Google reached an agreement in October 2008 to create a $125m
fund to pay authors to have their work scanned and made available
online.
The
US Justice Department became involved after representatives for
Consumer Watchdog and the American Antitrust Institute raised
concerns earlier this year.
Lawyers who represented the Authors Guild in negotiations with
Google said the information requests indicates US authorities are
serious about the antitrust implications of the settlement.
The settlement was aimed at resolving a class action by the
Authors Guild and the Association of American Publishers against
Google.
Under the settlement, Google would have the right to display the
books online and to profit selling access to them, but revenue
would be shared with authors and publishers.
The settlement still needs federal court approval and the
deadline has been extended to September for other authors and
publishers to oppose it.
Google has defended its position by highlighting the benefits to
readers of putting millions of books out-of-print books online.
The Justice Department's latest requests do not necessarily mean
that the US government will oppose the settlement, but the
investigation could delay approval of the settlement, analysts
said.