Nov 18, 2024,08:04pm EST
The U.S. Department of Justice (DOJ) is expected to urge a federal judge to order Google to divest its Chrome web browser, Bloomberg reports. This development comes amid a broader antitrust battle against the tech giant, following a ruling earlier this year that found Google had illegally maintained a monopoly in the search engine market.
Key Developments
Proposed Action: The DOJ plans to recommend that Judge Amit Mehta, who ruled against Google in August, mandate the divestiture of Chrome. As one of Google’s most significant assets, Chrome is integral to the company’s advertising and search ecosystem, driving billions in revenue.
Licensing and Content Control: The DOJ will also propose that Google be required to license search results and data generated through Chrome. Additionally, it aims to give websites more control over how their content is used in Google’s artificial intelligence tools.
Potential Delay on Divestiture: If Google makes certain changes to foster a more competitive market, the DOJ may reconsider the necessity of a Chrome divestiture. This approach marks a step back from earlier considerations of forcing the sale of Android, Google’s widely used operating system for smartphones and other devices.
No Immediate Comment: Both Google and the DOJ have not yet responded to requests for comments on the reported recommendations.
Surprising Stat
Google Chrome dominates the browser market with a 66.7% share, vastly outpacing its competitors like Safari (18%), Edge (5%), and Firefox (3%), according to Statcounter.
Big Number
Google’s core advertising business generated $65.9 billion in the last quarter alone, accounting for the majority of its $88.3 billion total revenue.
Background
In August, Judge Mehta determined that Google—owned by parent company Alphabet—used exclusive distribution agreements to enforce its dominance. These agreements allegedly required Google to be the default search engine on mobile devices and computers, resulting in what the DOJ described as anticompetitive practices. The ruling cited “supracompetitive prices for general search text ads” and labeled Google’s behavior as exclusionary.
As Google prepares to appeal the August ruling, Judge Mehta is assessing potential remedies for the company’s antitrust violations. The proposals for addressing these issues will be considered in April, with a final ruling expected by August 2025.
This case continues to highlight ongoing government efforts to regulate big tech and foster competition in digital markets.