U.S. considers breaking up Google after monopoly ruling
9:43 PM EDT, August 14, 2024
U.S. authorities are considering requesting a breakup of Google after a court found the company guilty of illegal monopolistic practices in search engines, Bloomberg and The New York Times report. Potential solutions include forcing the company to sell the Android operating system or the Chrome browser.
According to Bloomberg, breaking up the tech giant is just one—and the most radical—option among measures to reduce Google's dominance. Other measures include compelling the company to share data with competitors and implementing mechanisms to prevent unfair advantages in artificial intelligence.
The federal prosecutor will also seek a ban on exclusive contracts that Google has made, for instance, with Apple, to ensure that its search engine does not remain the default user option.
Android or Chrome to be sold?
These contracts were one reason why a federal court in Washington, D.C., in a landmark ruling, found Google guilty of illegally exploiting and maintaining a monopoly in the search engine and online advertising market. The court ruled, among other things, that it harms consumers and stifles innovation.
The court still needs to decide on the penalty and corrective measures. The U.S. Department of Justice, along with several state attorneys, brought the lawsuit against Google and has until September 4 to present its proposed solutions, and the hearing is set for September 6.
According to The New York Times, among the options being considered by the federal prosecutor is forcing Google to sell the part of the company responsible for the Android operating system or the Chrome browser. Such a scenario would not be unprecedented in the history of antitrust proceedings.
In a similarly significant case against Microsoft 20 years ago, the court initially ordered the company to sell part of its empire, though the appellate court later reversed this ruling. However, as noted by the NYT, the ruling still had long-term effects, reducing the corporation's dominance and allowing competitive firms—such as Google—to thrive.
