A US federal judge has ruled that Google will not be forced to sell its Chrome web browser but must share data with rivals, concluding a high-profile case over the company’s dominance in online search.
The remedies, issued by District Judge Amit Mehta, follow years of litigation examining Google’s position as the default search engine on its own platforms, including Android and Chrome, and on devices produced by companies such as Apple.
The US Department of Justice (DOJ) had sought a far tougher remedy, demanding the sale-off of Chrome. Tuesday’s decision means Google will keep control of its browser but will be prohibited from exclusive contracts and compelled to provide competitors with access to search data.
Google had suggested less severe measures, including limiting revenue-sharing deals with companies like Apple to ensure default placement. Following the ruling, the company welcomed the outcome, crediting the rise of artificial intelligence (AI) as a factor.
“Today’s decision recognizes how much the industry has changed through the advent of AI, which is giving people so many more ways to find information,” Google said in a statement. “This underlines what we’ve been saying since this case was filed in 2020: Competition is intense and people can easily choose the services they want.”
The company has consistently denied wrongdoing since charges were first filed, arguing that its market dominance is due to the superiority of its search engine and consumer preference.
Last year, Judge Mehta found that Google had illegally maintained its monopoly in search by using unfair practices that violated US law. However, he rejected calls for a sell-off of Chrome, calling it “a poor fit for this case.” Google will also retain its Android operating system, which powers most of the world’s smartphones. The firm had argued that breaking up Android would prevent it from functioning properly.
Assistant Attorney General Abigail Slater said the order acknowledged the need to restore competition but suggested it might not go far enough. “We are now weighing our options and thinking through whether the ordered relief goes far enough in serving that goal,” she wrote on X.
Shares in Alphabet, Google’s parent company, surged more than 8% after the ruling. Smartphone makers such as Apple, Samsung and Motorola are also expected to benefit.
The trial revealed that Google paid more than $26 billion in 2021 to companies, including Apple and Mozilla, to secure exclusive pre-loading and promotion of its products. Under the new ruling, the company can no longer make exclusive agreements covering Google Search, Chrome, Google Assistant, or its Gemini app. Device manufacturers will now be free to install or promote rival services, although Google can still pay for default placement.
Industry analysts described the ruling as favourable to big technology firms. Gene Munster of Deepwater Asset Management said it was “good news for big tech,” noting that Apple would also benefit as Google will now be required to renegotiate its search deal annually. Melissa Otto of S&P Global Visible Alpha added that the ruling was “not as draconian as the market was expecting,” describing it as a “win-win” for major players, given Google’s search business is projected to generate nearly $200 billion this year.
Not all reactions were positive. Rival search engine DuckDuckGo criticised the outcome, saying it failed to impose the changes needed to curb Google’s illegal practices. “As a result, consumers will continue to suffer,” said founder and CEO Gabriel Weinberg.
The ruling does not end Google’s legal troubles. Later this month, the company faced a separate DOJ case in which a judge had already ruled that it held illegal monopolies in digital advertising technology.
Source: BBC
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