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International Editorials – Google was found on Monday to have violated antitrust laws in its bid to become the world’s default search engine. According to the court ruling, the company engaged in illegal conduct designed to stifle competition and expand its dominance.
“After careful analysis and weighing of witness testimony and evidence, the court concludes that Google is a monopoly and is acting in ways that preserve its monopoly,” said U.S. District Judge Amit Mehta.
The ruling noted that Google “has an 89.2% market share in general search services, increasing to 94.9% on mobile devices,” and said the company was responsible for maintaining a monopoly in online search and related advertising.
It’s the biggest U.S. antitrust showdown in a quarter-century, one that could hurt one of the world’s most recognizable companies and transform markets.
Investing billions of dollars
The judge said that in 2021 alone, Google invested $26.3 billion to ensure that its search engine became the default search engine on smartphones and browsers, so that other companies “can only compete if they are willing to pay more than billions of dollars to their partners.”
“Google certainly recognizes that the loss of a default can dramatically impact its results. For example, Google expects that the loss of Safari’s default will result in a significant drop in query volume and billions of dollars in lost revenue,” Mehta said.
As of now, it is unclear what penalties the court’s ruling will impose on Google and its parent company, Alphabet Inc. They are expected to announce them at a future hearing.
‘Historic victory’
The ruling came after the U.S. Department of Justice sued Google in 2020 for using illegal tactics to maintain its dominance in internet search. Later, in 2023, the agency accused Alphabet Inc. of “systematically” destroying evidence related to its antitrust lawsuit.
For its part, the company announced plans to appeal the resolution. In a statement, Google said: “This decision recognises that Google offers the best search engine, but concludes that we should not be allowed to make it readily available.”
Meanwhile, U.S. Attorney General Merrick Garland called the ruling a “historic victory for the American people” and said that “no company, no matter how large or influential, is above the law.” “The Department of Justice will continue to vigorously enforce our antitrust laws,” he concluded.
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