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On Monday, a federal judge ruled that Google illegally created a monopoly over online search. The landmark decision is the most significant victory yet for US regulators trying to rein in the power of tech giants.
What is Google guilty of? The ruling says the tech giant abused its monopoly power by paying other companies, like Apple and Samsung, billions a year to have Google automatically put its search engine on smartphones and web browsers. This allowed Google to collect more consumer data than its competitors, which it used to make its search engine better and more dominant.
The judge must now decide how it will order Google to change its behavior, which could include forcing the company to change how it runs – or to sell off parts of the business.
Why it matters? The decision will likely influenceother antitrust lawsuits against Google, Apple, Amazon, and Meta, and add momentum to the Biden administration's antitrust enforcement agenda. It will also almost inevitably be appealed, making it highly likely to end up on the Supreme Court’s docket next term.
