Google is ruled a monopoly, at risk of being broken up

Google's search engine is the foundation of Alphabet Group, generating the majority of revenue - Photo: REUTERS

"The court concludes that Google is a monopoly and has acted as a monopoly to maintain its monopoly," Judge Amit Mehta said in a 227-page ruling on August 5 (US time).

Google is the search engine giant that controls about 90% of the online search market and 95% on smartphones.

At the core of the matter are the massive payments of tens of billions of dollars a year that Google makes to Apple and other companies to keep its search engine as the default on Apple products, web browsers like Safari and Mozilla.

Attorneys for the US Department of Justice accuse Google of achieving and maintaining its dominance while stifling other search engine competitors. Previously, the Justice Department and about a dozen US states sued Google for violating antitrust laws.

Google’s monopoly has allowed it to raise prices for some search ads, which Judge Mehta said has given the company more money to continue to keep its search engine at the top.

The ruling on August 5 could pave the way for a second trial to determine remedies, which could include splitting Google parent Alphabet into several smaller companies, Reuters reported.

Alphabet shares fell 4.5% following the ruling. Google ads will account for 77% of Alphabet's total revenue in 2023.

US Attorney General Merrick Garland called the ruling "a historic victory for the American people", adding that "no company - no matter how large or influential - is above the law".

Google said it would appeal the ruling, according to Alphaet's president of global affairs, Kent Walker, adding that the company would continue to provide the best services to its users.

Over the past four years, US federal antitrust regulators have sued Meta, Amazon and Apple, accusing the corporations of maintaining illegal monopolies.

All of those lawsuits began under the Donald Trump administration.

Source: https://tuoitre.vn/google-bi-phan-doc-quyen-co-nguy-co-bi-chia-tach-20240806085607286.htm