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The US government is currently considering taking action against Google, the search and ads giant, for allegedly causing “pernicious harms” to Americans.
According to the BBC, the US Department of Justice (DOJ) is exploring potential solutions following a court ruling in August that found Google had unlawfully stifled competition in online search.
Allegations of market dominance
The DOJ alleges that Google utilized products such as Chrome and Android to steer users towards its search engine, allowing it to dominate the market and impede competition. This alleged behavior has allegedly led to higher ad prices and decreased service quality, according to the DOJ.
The DOJ is now exploring potential measures to prevent Google from favoring its search engine through its products, with detailed suggestions expected to be presented by Wednesday, November 20th, 2024.
Google is also developing its own proposed solutions, which are expected to be submitted a month later by Friday, December 20th, 2024.
Resistance to proposed actions
Google has vehemently opposed the DOJ’s suggestions, branding them as “radical” and cautioning that breaking up the company could have negative consequences for consumers, businesses, and developers.
In a blog post, Google’s VP of regulatory affairs, Lee-Anne Mulholland, criticized the DOJ’s proposals as “government overreach”. Mulholland argued that implementing such changes could result in increased prices, as Chrome and Android would need to find alternative revenue sources.
Mulholland also contended that Google’s payments to Apple and Samsung help subsidize their products, and ending these agreements could potentially lead to price hikes.
