The U.S. government, in its role as prosecutor, initiated the trial against Google this Tuesday, asserting that the tech giant has been monopolizing the search engine business for years. Kenneth Dintzer, the deputy director of the civil division of the Department of Justice, proclaimed in his opening statement, “Google illegally maintained a monopoly for more than a decade.”
In retort, Google remains optimistic, stating, “This lawsuit has many flaws, and we are pleased that the Court has significantly narrowed it, dismissing claims relating to the design of Google Search.”
Defending the Throne
Google maintains that its search distribution agreements are reflective of browser and device manufacturer preferences, which in turn are influenced by the quality of services and consumer choices. “Making it easier for people to get the products they want benefits consumers and is supported by U.S. antitrust law,” the company emphasized, further adding, “People don’t use Google because they have to, but because they want to.”
Ties with Manufacturers
Browser giants Apple and Mozilla have historically selected Google as their default search engine, suggesting a preference for its services over competitors. Tim Cook, Apple’s CEO, famously commented that they opted for Google simply because it is “the best.” In addition, Google notes that competitors such as Bing and Yahoo! have also secured spots in Apple’s Safari browser. Similarly, Mozilla’s Firefox browser has opened doors for other search providers, yet Google remains its primary choice.
Google and Android: A Symbiotic Relationship?
On the Android front, Google allows phone makers to pre-install its suite of services, including the search engine, on device home screens at no cost. Google likens its model to supermarkets charging brands for prime shelf placement. While device manufacturers have the liberty to use the open-source Android system without any obligations to Google, many opt for the tech giant’s services, giving them an edge in the competitive market against rivals like Apple’s iPhone. Google asserts, “Our Android distribution agreements have not hurt competition; in fact, they have fostered competition.”
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Choices and Preferences
Google’s dominance in the search engine realm is undeniable, boasting 90% of the market share in the U.S. and 91% globally. Yet, the company argues that consumers still retain choice. Citing an example from 2014, when Mozilla set Yahoo! as its default search engine, many users reverted back to Google by choice.
The Ad Campaign Controversy
While Google introduced tools for streamlined cross-platform ad campaign management, some state attorneys general argue that the company should have prioritized Microsoft’s requests for its SA360 capabilities. Google counters that U.S. law doesn’t mandate companies to prioritize competitors over consumers. Notably, Microsoft, despite its vast resources, hasn’t ventured into creating its own search engine management tool.
The Broader Picture
The backdrop to this litigation is vast. The U.S. Department of Justice has devoted three years to constructing this case, a legacy from the Trump era, carried forth under President Joe Biden. A coalition of 38 state attorneys general has joined the executive’s lawsuit.
To fortify its defense, Google has enlisted an army of personnel, roped in three prominent law firms, and channeled millions into legal fees and lobbying.