Google Loses Landmark Antitrust Case As Judge Declares Search Giant A Monopoly
Google has long been the dominant search engine used throughout the world, while facing new competitors, such as OpenAI’s new SearchGPT recently. However, how the company has stayed atop the competition with its AI-infused search engine has been called into question on more than one occasion. Now, a US judge has found the company violated antitrust law with its anticompetitive method of doing business with other companies, such as Apple.
“After having carefully considered and weighed the witness testimony and evidence, the court reaches the following conclusion: Google is a monopolist, and it has acted as one to maintain its monopoly,” US District Judge Amit Mehta remarked. “It has violated Section 2 of the Sherman Act.”
The court case originated with the Trump administration, and called Google out for its exclusivity deals with Apple and other major companies in the mobile ecosystem. Those contracts made it much more difficult for other search companies, like Microsoft’s Bing and DuckDuckGo, to be competitive. Mehta also pointed out that because of those contracts, Google was able to charge high prices in search advertising, giving rise to its monopoly in the search engine business.
While the antitrust ruling is a huge condemnation of how Google does its search business, it only addressed the company’s liability. Potential remedies will not be handed down until a second trial occurs. There is also the possibility of a separate proceeding to determine if Google will face any penalties for its monopolistic practices. Being that Google plans on appealing the decision, the entire process could take months or years to fully play out.
Kent Walker, Google’s president of global affairs, remarked in a statement. “This decision recognizes that Google offers the best search engine, but concludes that we shouldn’t be allowed to make it easily available,” he said. “As this process continues, we will remain focused on making products that people find helpful and easy to use.”
The US government will take the win into the next antitrust trial against Google, which is scheduled to begin on September 9, 2024. That trial will focus on whether the tech giant illegally monopolized digital advertising technology.
“This victory against Google is an historic win for the American people,” Attorney General Merrick Garland said in a statement, according to The New York Times. “No company — no matter how large or influential — is above the law.”