Google will square off against the DOJ and dozens of state attorneys general in a high-stakes remedy phase to the search antitrust case it lost last year. The remedy phase kicking off today could result in the tech giant being forced to sell off key assets.
Bloomberg reports that Google and the U.S. government are set to begin a three-week trial focused on remedies for what a judge has already ruled is the company’s illegal monopoly in the online search market. Last year, US District Judge Amit Mehta determined that Google has maintained an unlawful monopoly in search through its more than $26 billion in annual payments to Apple and other companies to be the default search option on smartphones and web browsers.
The DOJ is now seeking significant structural changes at Google to restore competition in the search market. The government’s proposed remedies include forcing Google to sell its Chrome web browser, license its search index and algorithms to competitors, and stop paying for exclusive search default positions on devices and services.
Google is strongly opposed to the DOJ’s proposals, arguing they would hurt consumers and stifle innovation. The company claims the forced sale of Chrome would “break” many popular products and features. As an alternative, Google has proposed measures that would still allow it to share search ad revenue with device makers and carriers even if users choose a different default search engine.
Judge Mehta will have to weigh the competing arguments and ultimately decide what changes, if any, to impose on Google’s business practices and structure. It is a momentous case, as the US government hasn’t broken up a major company since AT&T in 1982. If Mehta does order a breakup or significant restructuring of Google, it would be the most consequential outcome of a government antitrust case in decades.
However, any remedies Mehta imposes will likely be put on hold for years as Google is expected to appeal the decision, potentially all the way to the Supreme Court. Still, the case represents a major test of the government’s ability to rein in the power of dominant technology platforms after years of a perceived hands-off approach by regulators.
The trial is the culmination of a lengthy government investigation into Google that began during the Trump administration. The DOJ first sued Google in October 2020 over its alleged search monopoly. Separate lawsuits have also been brought by the government targeting Google’s dominance in digital advertising — a case which was also just decided in the government’s favor. Taken together, the cases represent an unprecedented antitrust assault against one of the world’s most valuable and powerful companies.
With so much at stake, the remedy phase will feature testimony from high-profile witnesses including Google CEO Sundar Pichai and Apple executive Eddy Cue, who negotiated for the multibillion dollar payments from Google to secure default search status on iPhones. Representatives from Microsoft, Mozilla, Verizon and other Google rivals are also expected to testify.
Read more at Bloomberg here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship.
