Google antitrust lawsuit: What you need to know
- The US Department of Justice (DOJ) has filed an antitrust lawsuit against Google.
- The lawsuit alleges Google’s dominance in online search and search engine advertising.
- It is possible that more offenses could be added to the lawsuit at a later date, although the focus is currently on search and search advertising.
It took a long time, but the US Department of Justice filed a lawsuit against Google, citing the search giant’s long-standing dominance in online search and anti-competitive practices in search advertising. The focus is on advertising through search, rather than all of Google’s advertising business. Currently, the DOJ is only focusing on Google’s anti-competitive behavior in relation to search and search engine advertising. It is possible that further crimes will be included in Google’s antitrust lawsuit at a later date.
Announced during a conference call early Tuesday morning, the DOJ, along with eleven states, alleged that Google had illegally operated a monopoly on general search and search advertising “through a network of exclusionary agreements.” Google is paying billions of dollars to other companies to maintain its place as the default search engine on various platforms, including Apple’s iPhones. The DOJ also referred to Google’s request to load its own apps that cannot be deleted onto most Android phones.
11 states are initially expected to sign the case, while others are likely to file separate lawsuits at a later date.
As the “gateway to the Internet”, the DOJ declared that Google’s anti-competitive practices were illegal under traditional antitrust principles. The department claimed that if the US waived antitrust proceedings now, “we could miss the next big wave of technological innovation.” The complaint states:
Without a court order, Google will continue to execute its anti-competitive strategy, crippling the competitive process, reducing consumer choice and stifling innovation. Google is now the undisputed gateway to the internet for billions of users worldwide. As a result, countless advertisers are paying a tribute to Google’s monopoly on search engine advertising and general search text advertising. American consumers are forced to accept Google’s policies, privacy practices, and use of personal information. New companies with innovative business models cannot emerge from Google’s long shadow. For American consumers, advertisers, and all businesses now dependent on the internet economy, it is time to stop Google’s anticompetitive behavior and restore competition.
Google disagrees with the government’s lawsuit. The company called the complaint “deeply flawed” a preliminary statement on twitter. “People use Google because they choose – not because they’re forced to, or because they can’t find alternatives.”
The DOJ mentioned that it had met with Google about steps that could be taken to resolve so-called anti-competitive behavior, although it was unable to disclose specific conversations with journalists during the call.
The ministry’s investigation has been going on for over a year. So why should the government find it necessary to file a lawsuit a few weeks before the US general election? When prompted by a Financial Times Reporters, the DOJ alleged that it was important to act quickly because the technology market was moving fast and that the department would advance lawsuits when it has enough evidence to support it.
You can read the entire 57-page complaint here (h / t The edge).