Industry

Google Offers To Loosen Search Engine Deals In Antitrust Response

2024-12-21 19:00:15

Google has submitted its proposal to address the Department of Justice’s (DOJ) antitrust lawsuit, which accuses the company of monopolistic practices in search.

Google disagrees with the court’s initial decision and plans to appeal. However, as part of the legal process, Google and the DOJ must present remedy proposals.

Background

In October 2020, the DOJ and several state attorneys general sued Google for breaking antitrust laws to maintain its control over search services and advertising.

In September 2024, Judge Amit Mehta ruled in favor of the DOJ.

The DOJ demands that Google sell Chrome, which it argues strengthens Google’s search dominance.

Additionally, the Justice Department suggested Google sell Android if other solutions fail to restore competition.

  • See more: Google May Have to Sell Chrome Browser To Comply With DOJ Ruling

Google’s Defense

Google has condemned the DOJ’s proposal, labeling it a “radical interventionist agenda.”

Kent Walker, Google’s President of Global Affairs, argued that the remedies would “break a range of Google products” and result in “unprecedented government overreach.”

Lee-Anne Mulholland, Google’s VP of Regulatory Affairs, stated that the case concerns contracts, not broader competition issues.

The company believes its success comes from having better products and innovative ideas rather than engaging in unfair competition.

Google stated in its filing:

“People don’t use Google because they have to — they use it because they want to.”

DOJ’s Demands

The Justice Department’s proposal seeks extensive structural changes, including:

  • Mandatory sale of the Chrome browser
  • Possible sale of Android
  • Prohibition of exclusive agreements
  • Mandatory data sharing with competitors
  • Enhanced oversight through a technical committee

Google’s Remedies Proposal

Google’s proposal focuses on search distribution agreements with browsers and device manufacturers.

Here are the key points:

  1. Browser Agreements: Browser companies like Apple and Mozilla would be allowed to negotiate multiple default search engine agreements across different platforms.
  2. Android Contracts: Device makers would have greater freedom to preload multiple search engines and Google apps independently
  3. Oversight and Compliance: A compliance monitoring system would be implemented

Next Steps

A remedies hearing is scheduled for April, at which time Google will appeal the court’s ruling.

Google argues its proposal meets the court’s findings about search contracts, while the DOJ seeks more extensive changes.

This case outcome could impact the search engine market and Google’s business model as we know it.


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