In a landmark ruling, U.S. District Judge Amit Mehta found that Google abused its monopoly power in internet search. The decision is expected to have a significant ripple effects on competition in the tech industry. Judge Mehta ruled that Google used exclusive deals with browser and device developers to secure its search monopoly.
As author of Capitalism XXL and "Gigantism", this is big news!
Antitrust rules are used to restore sound capitalism. @profgalloway @mcgillu https://t.co/PTEcwTdTvI— Geert Noels (@GeertNoels) August 6, 2024
These default agreements funneled the majority of online searches to Google’s search engine result pages.
USfederal judge awarded the Justice Department a victory over #Google which violated antitrust laws to dominate online search. Google’s actions—paying billions to #Apple & other companies to be the default search engine on their platforms—created a barrier https://t.co/JS1nykJcmq
— Monika Schnitzer🇺🇦🇪🇺 (@MonikaSchnitzer) August 6, 2024
Legal experts believe that disrupting these default deals is the most direct remedy that the Department of Justice can pursue to restore competition. Other proposed remedies include mandating choice screens in browsers to requiring Google to divest from Chrome or Android.
Google has indicated it plans to appeal the ruling.
Judge rules Google’s search deals illegal
The appeal process could take years and delay any litigation on remedies.
A landmark victory—Google became a behemoth monopoly by squashing competitors & raising prices on consumers. DOJ & state AGs’ milestone antitrust win today will open up new innovation & help lower prices for all. https://t.co/4KVcvkdBx7
— Richard Blumenthal (@SenBlumenthal) August 5, 2024
The ruling’s success on appeal is still up for debate. Supporters describe it as “rock solid,” while critics argue its interpretations of antitrust law could be challenged.
WIN: In 2020, we filed an antitrust lawsuit against Google to end their illegal search engine monopoly.
Today's landmark decision is another step towards greater choice and competition, and better privacy protections in the online space.https://t.co/vMY1XBOFCK
— Andrea Joy Campbell (@MassAGO) August 5, 2024
Assistant Attorney General Jonathan Kanter hailed the ruling, stating it “holds Google accountable” and “paves the path for innovation for generations to come.”
Industry watchers suggest a loss for Google could significantly alter how the world searches the internet.
Adam Epstein, president of adMarketplace, predicts search experiences will become more dynamic and independent of Google’s pages. The ruling will likely influence ongoing and future antitrust cases against other tech giants like Apple, Amazon, and Meta. It signals a potential shift in how monopolistic practices are addressed.
Professor Rebecca Haw Allensworth noted, “It’s a sign that the tide is changing in antitrust law generally away from the laissez-faire system that we’ve had for the last 40 years.”
As the Department of Justice’s case against Google continues, the landmark decision sets the stage for what could be dramatic changes in the search industry and antitrust enforcement in the tech sector.
