The U.S. Department of Justice (DOJ) has unveiled a set of recommendations that could reshape Google’s search engine operations significantly, signaling potential antitrust actions that may lead to a breakup of the tech giant. This move follows a recent court ruling that declared Google a monopoly in the search market, raising concerns about its overwhelming dominance and practices.
In a filing made late Tuesday, the DOJ outlined several proposed remedies aimed at curtailing Google's monopolistic behavior. These include requirements that could impose contract regulations, prohibit discriminatory practices, and enforce data sharing and interoperability standards. The DOJ emphasized the need for Google to stop leveraging its other products—such as Chrome, Android, and Google Play—to unfairly boost its search engine and related services, including new AI-driven search capabilities.
One notable suggestion involves limiting default agreements that currently favor Google, particularly those with major players like Apple and Samsung. Such agreements cost Google billions annually, and the DOJ has proposed the introduction of a “choice screen” that would allow users to select alternative search engines, promoting fair competition in the market.
These recommendations aim to dismantle what the DOJ describes as Google’s control over distribution, ensuring that the company cannot monopolize future distribution channels as well. This development follows a U.S. judge's ruling in August, which found that Google maintained its market dominance by erecting high barriers to entry for competitors and sustaining a feedback loop that reinforces its position. The judge concluded that Google's actions violated Section 2 of the Sherman Act, which prohibits monopolistic practices.
Kent Walker, Google’s president of global affairs, announced the company's intent to appeal the ruling, underscoring the judge's recognition of the high quality of Google’s search products. The DOJ has also proposed that Google share its search index data, AI models, and advertising ranking information with competitors, while ensuring compliance with privacy concerns.
While the recommendations are still preliminary, Judge Amit Mehta aims to deliver a ruling on the proposed remedies by August 2025. However, the appeal process may prolong any significant outcomes for years.
In response, Google’s vice president of regulatory affairs, Lee-Anne Mulholland, described the DOJ's proposals as “radical” and warned that such sweeping changes could have unforeseen consequences across various industries. She specifically cautioned that breaking off products like Chrome or Android could harm their functionality and overall integration.
Legal experts predict that the most probable outcome may be the modification or removal of certain exclusive agreements Google has with companies like Apple, making it easier for users to explore alternative search engines. However, a complete breakup of Google seems unlikely.
Notably, Google Search remains a vital revenue stream for Alphabet, contributing $48.5 billion, or 57% of the company’s total revenue in the second quarter of this year. With a staggering 90% market share in search, any changes to its business practices could significantly impact the digital landscape.
In related news, a separate antitrust case resulted in a permanent injunction requiring Google to offer alternatives to its Google Play store for app downloads on Android devices. As the DOJ continues to scrutinize Google’s practices, the tech giant may face ongoing challenges that could reshape its operations for years to come.
