The Google antitrust lawsuit revealed a striking truth: According to the DOJ, Google is an illegal monopoly.
The U.S. Department of Justice and several states have taken on Google, accusing it of illegally monopolizing search and online ads. Since the lawsuit hit the courts in October 2020, it’s revealed some shocking claims: Google allegedly used exclusive deals and clever tactics to keep competitors at bay and maintain its top spot. As this high-stakes case unfolds, it could lead to major changes in how big tech companies operate. Buckle up as we dive into the drama of the lawsuit, where things stand now, and what it could mean for the future of Google and the tech world.
Google antitrust lawsuit explained
The Google antitrust lawsuit is a major legal case in which the U.S. Department of Justice (DOJ) and several other states accused Google of unfairly dominating the search and online advertising markets.
In October 2020, the DOJ, along with 11 state attorneys general, filed a lawsuit against Google. They claimed that Google was using unfair practices to keep its top position in search and online ads. This Google antitrust lawsuit was based on the Sherman Antitrust Act, which is a law designed to prevent companies from having too much control over a market.
Accusations
The DOJ said Google made deals with companies like Apple, Android device makers, and browser developers to make sure Google’s search engine was the default choice. For example, Google paid Apple billions of dollars to ensure Google Search was the default on Safari browsers. These deals made it hard for other search engines to compete.
The Google antitrust lawsuit argued that the search giant controlled the market for general search services and search ads. By making it difficult for other search engines to get noticed, Google kept advertisers locked into using its ad tools, which could lead to higher prices.
Google allegedly forced phone makers using its Android system to pre-install Google apps if they wanted access to the Google Play Store. This meant users were more likely to use Google services than competitors.
The case is based on the Sherman Antitrust Act’s Section 2, which prohibits monopolies. The DOJ claimed Google was breaking this law by keeping its market dominance through unfair practices with these actions.
Initial findings
In 2023, Judge Amit Mehta ruled that Google did maintain a monopoly in the general search and search ads markets. He agreed with the DOJ that Google had broken the law by blocking competition. However, he didn’t find enough evidence to say Google had a monopoly in all areas of online advertising.
Judge Mehta pointed out that Google’s massive payments to companies like Apple discouraged them from creating their own search engines. This was a key reason why other search engines couldn’t gain ground.
Google loses antitrust case: What’s next?
According to Attorney General Merrick B. Garland, in a statement, the ruling underscores that “no company—no matter how large or influential—is above the law.” He emphasized the Justice Department’s commitment to enforcing antitrust laws, reflecting a broader effort to ensure fair competition in the marketplace. Kanter echoed these sentiments, describing the decision as a “landmark” that holds Google accountable and opens the door for future innovation. He praised the dedication of public servants and state law enforcement partners, whose hard work made this outcome possible, ensuring that all Americans continue to have access to diverse and competitive sources of information.
The next step is to decide what to do about Google’s violations. This could include changing how Google does business or even breaking up parts of the company. However, these decisions haven’t been made yet.
Google plans to appeal the ruling, saying that its success comes from having a great product, not from being unfair. It also argues that it faces competition from other tech giants, even if those companies don’t offer search engines.
The Google antitrust lawsuit is part of a larger trend of governments cracking down on big tech companies. Google isn’t just facing issues in the U.S. They’ve also been fined billions of euros in the European Union for similar reasons. Similar lawsuits are happening against Amazon, Apple, and Meta (formerly Facebook). These cases could lead to significant changes in how tech companies operate.
All images are generated by Eray Eliaçık/Bing
