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The court decision threatens radical consequences.
The US Department of Justice won an important victory in an antitrust case against Google, recognizing the company as a monopolist in the online search market. Judge Amit Mehta, who made the decision, must now determine what measures will be applied to the company. Options can range from limiting its ability to enter into certain transactions to potentially forcing a separation of the company.
These measures can significantly change the business structure of Google and its parent company Alphabet, which thanks to its search service has become one of the most valuable in the world. However, there is a concern that these measures may be taken too late to really affect the company's dominant position, because Google has already become synonymous with Internet search.
Today, Google controls about 90% of all search queries in the United States, and 95% on mobile devices. The main competitor, Microsoft's Bing search engine, occupies only 6% of the market. Google's search-based advertising business generates a whopping $ 175 billion in revenue last year, accounting for more than half of Alphabet's total revenue.
The European Commission has been trying for years to limit Google's market power by imposing multibillion-dollar fines. However, these efforts have not led to a significant change in the situation: Google still dominates the region. New rules introduced by the EU as part of the Digital Markets Act suggest that Android manufacturers must offer users a choice of search engine when they first launch the device. However, these measures also did not seriously damage Google's monopoly.
Meanwhile, in the US, discussions are intensifying about the need for stronger measures against tech giants. Google is also facing a separate case related to digital advertising, and other major companies such as Apple and Amazon may be considered in the near future.
The final outcome of this case may depend on how successful new players in the market, such as OpenAI with their SearchGPT project, supported by a partnership with Microsoft, will be. However, while Google remains almost the undisputed leader in the search market, and the fight against its dominance will be a difficult task for the US authorities.
Source
The US Department of Justice won an important victory in an antitrust case against Google, recognizing the company as a monopolist in the online search market. Judge Amit Mehta, who made the decision, must now determine what measures will be applied to the company. Options can range from limiting its ability to enter into certain transactions to potentially forcing a separation of the company.
These measures can significantly change the business structure of Google and its parent company Alphabet, which thanks to its search service has become one of the most valuable in the world. However, there is a concern that these measures may be taken too late to really affect the company's dominant position, because Google has already become synonymous with Internet search.
Today, Google controls about 90% of all search queries in the United States, and 95% on mobile devices. The main competitor, Microsoft's Bing search engine, occupies only 6% of the market. Google's search-based advertising business generates a whopping $ 175 billion in revenue last year, accounting for more than half of Alphabet's total revenue.
The European Commission has been trying for years to limit Google's market power by imposing multibillion-dollar fines. However, these efforts have not led to a significant change in the situation: Google still dominates the region. New rules introduced by the EU as part of the Digital Markets Act suggest that Android manufacturers must offer users a choice of search engine when they first launch the device. However, these measures also did not seriously damage Google's monopoly.
Meanwhile, in the US, discussions are intensifying about the need for stronger measures against tech giants. Google is also facing a separate case related to digital advertising, and other major companies such as Apple and Amazon may be considered in the near future.
The final outcome of this case may depend on how successful new players in the market, such as OpenAI with their SearchGPT project, supported by a partnership with Microsoft, will be. However, while Google remains almost the undisputed leader in the search market, and the fight against its dominance will be a difficult task for the US authorities.
Source
