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U.S. District Judge Amit P. Mehta declared on Monday that "Google is a monopolist and acted as such to maintain its monopoly." This ruling, considered one of the most significant in the digital era, could transform how major tech companies operate and how millions of users access information online.
The verdict concludes what is regarded as the most important antitrust trial of the internet age, following a series of confrontations between tech corporations and the U.S. government. The Justice Department sued Google for abusing its dominant position in online search, where it controls 90% of the U.S. market.
During the 10-week trial, the judge found that Google made multimillion-dollar payments to manufacturers and telecommunications companies to keep its search engine as the default on browsers, which he deemed illegal.
Justice Department prosecutor Kenneth Dintzer argued that Google spends over $10 billion annually on these agreements to secure its privileged position.
Google has not yet responded to the ruling, but during the trial, it claimed that its success is based on competition and the quality of its service. According to the company’s lead attorney, John E. Schmidtlein, Google competes to be the default tool on its own merits, not through unfair practices.
Kent Walker, President of Global Affairs at Alphabet, defended that Google’s agreements with manufacturers are not exclusive and that companies like Apple choose Google because of its product’s superiority.
Now that the judge has established Google’s liability, the lawsuit seeks to compel the company to cease its anticompetitive practices and implement measures to rectify the harm. However, the ruling does not specify penalties or corrective measures. It is expected that this could lead to a second trial to determine the appropriate actions, and Google may appeal the decision.
This case is reminiscent of other historic antitrust trials, such as the 1974 case against AT&T, which led to its breakup, and the 1998 case against Microsoft, which impacted the market for operating systems and browsers. The breakup of AT&T in 1984 facilitated the development of the mobile phone industry, while the Microsoft case allowed the rise of Google and other competitors on the internet.
Additionally, Google faces other lawsuits and fines internationally, including cases in the European Union for anticompetitive practices.
Sources: BBC
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