A U.S. federal judge has ruled that Google will not be required to sell its Chrome web browser but must share search data with rivals. The decision follows a protracted antitrust case over Google’s market dominance in online search, reports BBC.
The lawsuit focused on Google’s status as the default search engine on a variety of its own products, such as Android and Chrome, and devices from companies like Apple. The U.S. Department of Justice had previously sought a complete divestiture of Chrome, but Judge Amit Mehta’s ruling allows Google to retain its browser. However, the company is prohibited from entering exclusive contracts and is required to share search data with competitors.
In a statement, Google called the ruling a "victory," suggesting that advances in artificial intelligence (AI) may have influenced the decision. “This decision underscores how competition has intensified, and how AI is offering people more ways to access information,” the company said.
Google has maintained that its dominance in the search market is due to its superior product, not anti-competitive behavior. Last year, Judge Mehta ruled that Google had engaged in anti-competitive practices to maintain its monopoly in the search market. However, the judge rejected calls for a forced breakup, noting that such a measure was “a poor fit” for the case.
The ruling also means Google will not be forced to sell off Android, which powers most smartphones globally. Google argued that splitting Android from its broader ecosystem would undermine its effectiveness.
“This remedy order supports restoring competition, but we are evaluating whether the ruling goes far enough,” said Assistant Attorney General Abigail Slater, after the decision.
Shares in Alphabet, Google’s parent company, rose more than 8% following the ruling. Major smartphone manufacturers, including Apple, Samsung, and Motorola, are expected to benefit. Google had previously paid billions of dollars to companies like Apple to make its search engine the default on their devices. In 2021 alone, Google paid more than $26 billion for such agreements.
The ruling prohibits Google from entering exclusive contracts for its search engine, Chrome, Google Assistant, or the Gemini app. As a result, phone manufacturers will now have the option to pre-load or promote rival search engines, browsers, and AI assistants.
While the ruling has been viewed as favorable for major tech companies, analysts note that it could still lead to changes in Google’s business practices. Gene Munster of Deepwater Asset Management called the ruling “good news for big tech,” while S&P Global’s Melissa Otto said it wasn't as harsh as many had expected.
Google’s legal battles are far from over. Later this month, the company faces another trial over accusations of illegal monopolies in online advertising technology.
Bd-pratidin English/ Jisan
