The US Justice Department warns Google of potential breakup due to ‘illegal monopoly’ | Business News
US officials have confirmed they are considering dismantling Google’s “illegal monopoly” of internet searches.
The tech giant could face restrictions on its own products – including its Chrome browser, Play Store, and Android operating system, according to the US Justice Department.
This decision comes after a judge ruled in August that Google had violated anti-trust laws to maintain its dominance in online searches.
The authorities have now proposed a series of measures to break up the company’s monopoly, as outlined in a court filing.
These proposals include preventing Google from paying other tech firms to have its search engine pre-installed or set as the default option on new devices.
In 2021 alone, the company paid out over $26 billion (£20 billion) to companies like iPhone maker Apple as part of this practice.
A spokesperson for the Justice Department stated: “Fully addressing these harms requires not only ending Google’s control of distribution today but also ensuring Google cannot control distribution in the future.”
Google responded by calling the court filing part of a “lengthy process” and confirming their plans to appeal the ruling.
Lee-Anne Mulholland, Google’s vice president of regulatory affairs, criticized the proposed “radical changes” for going too far and accused the US government of having a “broad agenda that will impact various industries and products.”
She also warned that the proposed measures could jeopardize user privacy and security, hinder the development of their artificial intelligence products, and potentially “break” software such as Android.
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The government’s announcement comes following earlier reports that officials were considering measures to address Google’s monopoly.
Meanwhile, in a separate case on Monday, a judge ruled that Google must increase competition in its app store, allowing Android apps to be available from other sources.
Judge James Donato ordered the company to stop mandating the use of its own payment system for apps on the Play Store.
This ruling followed a legal battle between Google and Epic Games, the maker of the popular video game Fortnite, regarding in-app purchases.