U.S. Government Considers Forcing Google to Break Up in Antitrust Case
In a Rush? Here are the Quick Facts!
- The U.S. Department of Justice shared a document outlining remedies to combat Google’s monopoly
- Forbidding Google from using Chrome, Android, and Play is among the suggestions
- Google considered these “radical changes” and plans to appeal in court
The government of the United States is considering asking a judge to force Alphabet—Google’s parent company—to sell off parts of its businesses, like the Android operating system and Chrome browser, as part of the solution to combat Google’s search monopoly.
The U.S. Department of Justice (DOJ) shared a framework document yesterday with potential remedies to reduce Google’s power, create more opportunities for creators, and reshape the way Americans access online content.
The DOJ proposes actions in four areas to regulate “Google’s illegal conduct”: search distribution and revenue sharing, accumulation and use of data, generation and display of search results, and advertising scale and monetization.
“For more than a decade, Google has controlled the most popular distribution channels, leaving rivals with little-to-no incentive to compete for users,” states the document regarding search distribution and revenue sharing. “Plaintiffs are considering behavioral and structural remedies that would prevent Google from using products such as Chrome, Play, and Android to advantage Google search and Google search-related products and features.”
The Department of Justice suggests also prohibiting or limiting Google’s contracts with other businesses and using or retaining data. According to Reuters, Google has made large payments— $26.3 billion in 2021—to companies like Apple and other manufacturers to remain people’s first search engine option.
A few hours after the DOJ shared the document, Google shared a public statement saying that the institution had published “radical changes” that “go far beyond the specific legal issues in this case.”
Google plans to appeal in court next year but warned that the measures proposed by the government as it considers that will harm businesses, consumers, and developers.
Italy’s Antitrust Agency has also announced an investigation against Google and Alphabet regarding unfair commercial practices and use of citizens’ data. Other companies, like Epic Games, have filed lawsuits against Google for anti-competitive practices.
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