The U.S. Department of Justice (DOJ) is contemplating asking a federal judge to compel Google to divest certain segments of its business. This potential action aims to dismantle what the DOJ describes as Google’s monopolistic grip on online search.
Challenging Google’s Dominance
In a court filing submitted late Tuesday, federal prosecutors outlined their concerns about Google’s extensive control over distribution channels that have, for over a decade, stifled competition. The DOJ’s argument states, “For more than a decade, Google has controlled the most popular distribution channels, leaving rivals with little-to-no incentive to compete for users.” To rectify this situation, the department is considering remedies that would not only break up Google’s control of its current offerings, such as the Chrome browser and Android operating system, but also prevent future dominance.
Possible Structural Changes
The DOJ has indicated it may seek structural changes to prevent Google from leveraging its products to bolster its search business. Among the proposed remedies is a potential limitation or ban on Google’s default search agreements, which many believe have reinforced its monopoly. This action would aim to level the playing field for competitors and encourage a more dynamic marketplace.
Google’s Response
In response, Lee-Anne Mulholland, Google’s vice president of regulatory affairs, criticized the DOJ’s filing, asserting that it represents government overreach. She warned that such actions could stifle innovation and harm consumers. “Government overreach in a fast-moving industry may have negative unintended consequences for American innovation and America’s consumers,” Mulholland said, expressing concern over the broad implications of the government’s approach.
The Court’s Timeline
U.S. District Judge Amit Mehta previously ruled that Google had illegally leveraged its dominance to suppress competition and hinder innovation. He has laid out a timeline for a trial focused on proposed remedies for next spring, with a decision expected by August 2025. Google has announced plans to appeal Mehta’s ruling, but the tech giant must await the finalization of any remedies before proceeding. Experts predict the appeals process could extend up to five years.
As the DOJ weighs its options, the tech industry remains on high alert, anticipating significant changes that could reshape the competitive landscape.
Source https://www.cbsnews.com/news/google-breakup-justice-department-judge-sell-chrome-android-other-units/
