Alphabet’s Google is facing intense legal pressure in a historic antitrust trial that could reshape the digital landscape. On Monday, a U.S. Department of Justice (DOJ) attorney argued that Google’s dominance in online search must be broken up to ensure fair competition, citing the need for stronger measures to prevent the tech giant from leveraging its artificial intelligence (AI) products to maintain its monopoly.
DOJ’s Antitrust Case: Aiming to End Google’s Monopoly
The DOJ is seeking an order that would force Google to sell its Chrome browser and take other measures to dismantle its monopoly on online search. The case draws comparisons to past antitrust actions, such as the breakup of AT&T and Standard Oil, and could fundamentally alter how people access information on the internet.
“Now is the time to tell Google and all other monopolists… that there are consequences when you break the antitrust laws,” said DOJ attorney David Dahlquist during his opening statement. He emphasized that Google’s dominance extends beyond search, influencing the development of its AI products, which are often used to direct users to its search engine.
Google’s Response: A Defense of Innovation
In its defense, Google argues that its AI products, such as Gemini, should not be included in the case, which is focused on its search engine. Google’s lawyer, John Schmidtlein, criticized the DOJ’s proposed remedies, calling them a “wishlist” for competitors who want to reap the benefits of Google’s innovations. “AI competitors would like handouts even though they are competing just fine,” Schmidtlein said.
Google also argued that the proposed breakup could stifle innovation, particularly in AI, at a critical juncture. Lee-Anne Mulholland, a Google executive, wrote in a blog post that adopting the DOJ’s proposals would “hold back American innovation.”
Proposed Remedies and Market Impact
The DOJ has proposed significant measures, including ending Google’s exclusive agreements with device makers like Apple and requiring the company to license its search results to competitors. If these steps fail to restore competition, the DOJ suggests that Google might have to sell its Android operating system. Google opposes these remedies, claiming they would raise smartphone costs and hurt companies like Mozilla that rely on revenue from these agreements.
Widening Scrutiny of Big Tech
This antitrust case is part of a broader crackdown on Big Tech, initiated during the first Trump administration and continuing under President Joe Biden. The DOJ’s efforts have been bipartisan, with Assistant Attorney General Gail Slater supporting the case in court. The DOJ also secured a win against Google in a separate case over advertising technology.
The Road Ahead
As the trial progresses, Google faces the possibility of profound changes to its business model. The outcome of this case, along with ongoing scrutiny of other tech giants like Meta Platforms (META.O), could signal a shift in how major tech companies operate and compete in the digital age.
