National Legal and Policy Center (NLPC) has circulated to investors an exempt solicitation report urging Alphabet Inc. shareholders to vote FOR Proposal Number 14 at the Company’s 2026 Annual Meeting on June 5.
Download the Full ReportThe Proposal asks Alphabet to publish an annual report assessing the risks to its operations, finances, and to public welfare from the unethical or improper use of external data in the development, training, and deployment of its AI offerings. Shareholders of record can vote NOW through the proxy materials they have received — they do not need to wait for the meeting itself.
The stakes are extraordinary. Alphabet crossed the $4-trillion market-capitalization threshold in January 2026,¹ and is now approaching $5 trillion, a valuation built on investor confidence in its AI roadmap. First-quarter 2026 results showed AI-related capital expenditures continuing to climb,² deepening the Company’s commitment to data-hungry models without a corresponding shareholder-facing disclosure of how that data is sourced or governed.
In May 2025, Alphabet agreed to pay Texas $1.375 billion to resolve claims involving Incognito browsing, biometric, and location-tracking violations — the largest single-state privacy settlement in the Company’s history.³ In September 2025, a federal jury ordered Alphabet to pay $425.7 million to roughly 98 million users for collecting smartphone data after they had switched off tracking settings.⁴ In January 2026, the Company agreed to a separate $68 million settlement over allegations that Google Assistant secretly recorded users’ conversations.⁵
The risks now extend from data inputs to AI outputs. Conservative activist Robby Starbuck sued Google in October 2025 after Gemini and Bard generated false claims tying him to child sexual assault, fraud, and other crimes — allegations the suit says reached nearly three million unique users.⁶ In March 2026, a Florida father filed the first wrongful-death suit involving Gemini, alleging that the chatbot drew his 36-year-old son into a delusional spiral, instructed him to attempt a “mass casualty attack” near Miami International Airport, and ultimately encouraged his suicide.⁷
Regulatory and national-security exposure is mounting in parallel. Ireland’s Data Protection Commission has opened an inquiry into Alphabet’s AI model that could find a “high risk to the rights and freedoms of individuals.”⁸ The Electronic Privacy Information Center and the Irish Council for Civil Liberties filed the first national-security complaint under the Protecting Americans’ Data from Foreign Adversaries Act, alleging that Alphabet’s Real-Time Bidding system transfers sensitive data about U.S. military personnel and federal judges to entities in China and other adversary jurisdictions.⁹
Alphabet’s Board urges a vote against the Proposal, pointing to internal “auditable” governance systems, web-publisher opt-out controls, and trade-association memberships. None of those produces a single shareholder-facing disclosure. None of these internal systems prevented the costly settlements, lawsuits, or regulatory actions cited above.
The U.K. Competition and Markets Authority has already ordered Alphabet to develop genuine publisher opt-out tools because the existing ones are inadequate.¹⁰ Industry frameworks and trade-association forums produce no binding obligations and no accountability to Alphabet’s investors.
Shareholders cannot evaluate what they cannot see. NLPC urges Alphabet investors to vote FOR Proposal Number 14 NOW.
Download the Full ReportEndnotes
- “Alphabet hits $4 trillion market capitalization,” CNBC, January 12, 2026. See https://www.cnbc.com/2026/01/12/alphabet-4-trillion-market-cap.html
- “Alphabet, Meta stock soar after AI capex spend pays off in Q1,” CNBC, April 30, 2026. See https://www.cnbc.com/2026/04/30/alphabet-meta-stock-ai-capex-spend.html
- “Google to pay Texas $1.4 billion in data privacy settlement,” CNBC, May 9, 2025. See https://www.cnbc.com/2025/05/09/google-texas-data-privacy-settlement-paxton.html
- “Google to pay $425 million after years of improper spying on smartphone activity,” Fox Business, September 5, 2025. See https://www.foxbusiness.com/technology/google-pay-425-million-after-years-improper-spying-smartphone-activity
- “Google settles lawsuit for $68 million following allegations of secretly recording smart device users,” Fox Business, January 27, 2026. See https://www.foxbusiness.com/technology/google-settles-lawsuit-68-million-following-allegations-secretly-recording-smart-device-users
- “Google hit with lawsuit over AI ‘hallucinations’ linking conservative activist to child abuse claims,” Fox News, October 28, 2025. See https://www.foxnews.com/media/google-hit-lawsuit-over-ai-hallucinations-linking-conservative-activist-child-abuse-claims
- “Google’s AI chatbot allegedly told user to stage ‘mass casualty attack,’ wrongful death suit claims,” CNBC, March 4, 2026. See https://www.cnbc.com/2026/03/04/google-gemini-ai-told-user-stage-mass-casualty-attack-suit-claims.html
- “Google’s AI model faces European Union scrutiny from privacy watchdog,” Associated Press, September 12, 2024. See https://apnews.com/article/google-ireland-european-union-data-privacy-artificial-intelligence-e0bb5f7d38653724ba65e5d6c30266f7
- “Google and CEO Sundar Pichai under fire for sending Americans’ data to China in new national security complaint,” Irish Council for Civil Liberties, January 16, 2025. See https://www.iccl.ie/digital-data/google-and-ceo-sundar-pichai-under-fire-for-sending-americans-data-to-china-in-new-national-security-complaint/
- “Google ‘exploring updates’ to let publishers opt out of AI Overviews,” PressGazette, January 28, 2026. See https://pressgazette.co.uk/news/google-ai-overviews-search-cma-proposals/
(Post references PX14A6G Notice of exempt solicitation)
