A landmark ruling on Monday found Google guilty of breaching antitrust regulations, with the tech giant reportedly funneling billions of dollars into establishing an unlawful monopoly and solidifying its position as the primary global search engine.
This decision marks a significant victory for federal authorities challenging the market supremacy of Big Tech corporations.
The judgment sets the stage for a subsequent trial to explore potential remedies, which could involve actions as drastic as the breakup of Google’s parent company, Alphabet. Such an outcome would reshape the landscape of online advertising, an industry dominated by Google for an extensive period.
Judge Amit Mehta, based in Washington, D.C., asserted that Google’s control extends to approximately 90% of the online search market and 95% on smartphones, confirming its status as a monopolist safeguarding its position through anti-competitive practices.
The process of resolution could be protracted, potentially involving appeals to higher courts such as the U.S. Court of Appeals for the District of Columbia Circuit and the U.S. Supreme Court, stretching into the following year or even into 2026.
In response to the ruling, Alphabet experienced a 4.5% decline in its shares on Monday amid a broader downturn in the tech sector, as recession concerns weighed on the overall stock market. Notably, Google advertising constituted 77% of Alphabet’s total revenues in 2023.
Alphabet disclosed plans to challenge Mehta’s decision, emphasizing in a statement that the ruling suggests Google provides the superior search engine, yet is being restricted from making it easily accessible.
