A judge in the United States has ruled that Google spent billions of dollars to create an illegal monopoly for its search engine, using its power to crush competition and block new ideas.
The decision on Monday, which found that Google broke antitrust laws, is a big win for US authorities fighting against the power of Big Tech, which has faced criticism from all sides of politics. “The court concludes: Google is a monopolist and has acted to keep its monopoly,” wrote US District Judge Amit Mehta in his 277-page ruling.
The ruling stated that Google’s control of the search market proves its monopoly. Google holds 89.2% of the market for general search services, which rises to 94.9% on mobile devices.
US Attorney General Merrick Garland described the ruling as “a landmark victory for the American people” and emphasized that “no company, regardless of its size or influence, is above the law.”
This decision is a major blow for Google and its parent company, Alphabet, which argued that its success was due to people’s preference for its search engine. Google’s search engine handles about 8.5 billion searches every day worldwide, nearly double its daily volume from 12 years ago, according to a study by investment firm BOND.
Google’s global affairs president, Kent Walker, said the company would appeal the ruling, noting that Judge Mehta had called Google the best search engine in the industry. “Given this, and that people are increasingly looking for information in more and more ways, we plan to appeal,” Walker said.
The ruling allows for a second trial to decide on possible solutions, which could include breaking up Alphabet, significantly changing the online advertising world that Google has dominated for years.
This is the first major decision in several cases against alleged monopolies in Big Tech, including Meta (which owns Facebook and Instagram), Amazon, and Apple. The Google case, filed by former President Donald Trump’s administration, went to court from September to November last year.
The case portrayed Google as a technological bully that systematically blocked competition to protect its search engine, which is the centerpiece of a digital advertising machine that made nearly $240 billion in revenue last year.
Justice Department lawyers argued that Google’s monopoly allowed it to charge advertisers too much while not having to invest more in improving its search engine, which hurt users.
Judge Mehta’s ruling highlighted the billions of dollars Google spends each year to make its search engine the default option on new mobile phones and electronic devices. In 2021 alone, Google spent more than $26 billion on these default agreements, the judge said.
Experts said the appeal process could take years, likely delaying any immediate impact on users and advertisers.
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