NAIROBI, Kenya – A US Judge has found Google guilty of illegal practices aimed at crushing competition and maintaining its monopoly on online search and related advertising.
This decision, handed down by US District Judge Amit Mehta on Monday, is a major setback for Alphabet, Google’s parent company, and poses significant implications for the tech industry.
The lawsuit, initiated by the US Department of Justice in 2020, accused Google of leveraging its control over 90% of the online search market to stifle competition.
This case is one of several antitrust actions taken against major tech firms, as US authorities strive to foster competition and curb monopolistic practices.
Judge Mehta’s 277-page opinion highlights Google’s extensive payments to smartphone makers and browser developers to ensure its search engine remained the default choice for users.
“Google is a monopolist, and it has acted as one to maintain its monopoly,” Mehta wrote.
The ruling is not just a blow to Google but a warning shot to other tech giants facing similar scrutiny.
It underscores the government’s determination to enforce antitrust laws rigorously.
US Attorney General Merrick Garland hailed the decision as a “historic win for the American people,” emphasizing that no company, regardless of its size or influence, is above the law.
The future penalties or remedies Google will face remain uncertain, as they will be determined in a subsequent hearing.
The government has called for “structural relief,” which could potentially lead to the breakup of Alphabet.
Google plans to appeal the decision, arguing that the ruling fails to acknowledge the quality of its search engine and its accessibility.
“This decision recognises that Google offers the best search engine, but concludes that we shouldn’t be allowed to make it easily available,” the company stated.
The ruling followed a 10-week trial in Washington, DC, where prosecutors detailed Google’s annual expenditures exceeding $10 billion to secure its default status across various platforms.
These payments ensured a steady stream of user data, reinforcing Google’s market dominance and preventing competitors from gaining a foothold.
Google’s legal defense claimed that its dominance resulted from offering a superior product rather than anti-competitive practices.
“Google is winning because it’s better,” said John Schmidtlein, Google’s lawyer, highlighting the competition from other search engines like Microsoft’s Bing and specialized websites.
Despite these arguments, Judge Mehta concluded that the value of being the default search engine created insurmountable barriers for potential competitors.
He noted that only firms willing to spend billions in revenue shares could challenge Google’s position.
This ruling is just the beginning of Alphabet’s legal battles. Another case concerning Google’s advertising technology is set to go to trial in September.
In Europe, Google has already faced substantial fines in similar monopoly cases.
