The Justice Department said it is considering asking a federal judge to order the dismantling of Google's online search monopoly. This is a move that could completely change the entire business model of Big Tech companies.
Federal authorities cited forced sale of Google's Chrome browser, Google Play app store, or Android operating system as possible “behavioral and structural remedies” to address Google's “illegal conduct.” Ta.
“To fully redress these harms, we must not only end Google's distribution control today, but also ensure that Google will not be able to control distribution tomorrow,” the Justice Department said in a filing late Tuesday. Ta.
Shares of Google's parent company Alphabet fell nearly 2% in early trading Wednesday.
Judge Amit Mehta ruled in August that Google built its search monopoly by making billions of dollars in payments to thwart competition and other illegal tactics.
He is expected to make a final decision on remedies for Google's actions by next summer.
The Justice Department also indicated it may require Google to share relevant search data, indexes, and models with competitors to ensure a level playing field. The Fed said it would submit a more complete proposal for Mehta's review in November.
The rise of artificial intelligence presents a “risk of creating new barriers to competition and further entrenching Google's dominance,” and any relief ordered by the judge must address market implications, officials said. added.
A forced sale is one of several possibilities Mehta is expected to consider before making a final decision.
The judge could also force Google to stop paying smartphone makers like Apple and carriers like AT&T to have its search engine installed by default on most devices. There is also.
Justice Department lawyers focused on these payments throughout the trial.
Google, which has vowed to appeal Mehta's initial ruling, described the Justice Department's redress framework as “radical” and argued that the proposal “goes far beyond the specific legal issues in this case.” did.
“Government overreach in a fast-moving industry can have unintended negative impacts on American innovation and American consumers,” Lee Ann Mulholland, Google's vice president of regulation, said in a blog post. Ta. “We look forward to making our case in court.”
Rival search engine DuckDuckGo, whose founder Gabriel Weinberg was one of the most high-profile witnesses testifying against Google at trial, praised the Justice Department's proposal.
“This proposal, in light of the court's ruling, is wisely aimed at breaking Google's current illegitimate grip on the general search market and ushering in a new era of enduring competition in the future,” a DuckDuckGo spokesperson said. said Kamil Bazbaz, senior vice president.
Google is in the midst of an unprecedented regulatory crackdown due to multiple antitrust lawsuits targeting various parts of its business.
Earlier this week, U.S. District Judge James Donato ruled that Google must open its lucrative Play Store to rivals. His decision comes months after Google suffered a stunning defeat in antitrust litigation, followed by Fortnite maker Epic Games.
Google also faces another Justice Department lawsuit aimed at its alleged monopoly over digital advertising technology. Closing arguments in that trial are scheduled to be held next month.
Some Wall Street analysts have already begun warning that a Google breakup could have a significant impact on the company's business in the months and years ahead.
Google CEO Sundar Pichai recently acknowledged that the company's legal battle will likely drag on for years.
