Google has been accused by the US Department of Justice of using its dominance in the internet search market to prevent competition and suppress innovation. The trial, deemed the largest antitrust case in 25 years, will examine whether Google manipulated the market in its favor by making its search engine the default choice on various platforms and devices. The case will be heard over the next 10 weeks, after which a ruling will be issued by US District Judge Amit Mehta, possibly in early 2023.
The lawsuit was filed by the US Department of Justice nearly three years ago, during the Trump administration. Prosecutors claim that Google ensures its monopoly through payments, totaling more than $10 billion per year, to secure its place as the default search engine on the iPhone, as well as on Apple’s Safari browser and Mozilla’s Firefox. This allegedly prevents rival search engines from achieving the same level of search quality and monetization, particularly on mobile devices.
Kenneth Dintzer, the lead litigator for the justice department, stated that Google’s control over default search arrangements has given it an unfair competitive advantage for over 12 years. He argued that Google’s dominance in processing searches allows it to accumulate vast amounts of user data, which can be utilized to enhance future searches and further strengthen its position against competitors. According to Dintzer, user data is crucial for the functioning of a search engine, and Google’s superior products are a result of its market dominance.
Dintzer also claimed that Google has been using its default arrangements to undermine rival search engines since 15 years ago. He cited internal Google documents that referred to these arrangements as an “Achilles Heel” for search engines like Yahoo and MSN. Furthermore, Dintzer accused Google of pressuring Apple into making its search engine the default option on their devices as a condition for receiving revenue-sharing payments. He argued that Google’s anticompetitive tactics prevented Apple from developing its own search engine.
In response to the allegations, Google’s attorney, John Schmidtlein, argued that the company’s search engine is popular because of its quality, and consumers can easily switch to other options if they are dissatisfied. Schmidtlein maintained that there are no legal grounds to suggest that Google violated antitrust laws to maintain its market position.
This antitrust case initiated by the US Department of Justice bears similarities to the one filed against Microsoft in 1998. In that case, regulators accused Microsoft of forcing computer manufacturers to include its internet browser, Internet Explorer, alongside its dominant Windows operating system.
The outcome of this trial will have significant implications for the future of the internet and the extent to which large technology companies can operate without hindering competition and suppressing innovation. Testimonies from top executives at Google, including Alphabet CEO Sundar Pichai, are expected, as well as executives from other influential technology companies.
