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Federal Judge Rules Against Google's Market Control in Internet Search
11 August 2024
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Zaker Adham
A recent federal court ruling has found that Google maintains its dominance in internet search through illegal monopoly practices. While Google Search is widely recognized as the best general search engine in the United States, its market position might not be as secure without its aggressive tactics against competitors.
Judge Amit Mehta of the D.C. Federal Court highlighted that Google spends billions to ensure its search engine is the default on new smartphones and other devices. In one year alone, these agreements cost Google $26 billion, a sum far beyond the reach of most competitors.
Although users can change their default search engine to alternatives like Bing (7% market share in the U.S.) or DuckDuckGo (2% market share), Google's 90% market share, especially on mobile devices, underscores the importance of being the default option. This dominance in search translates to significant control over advertising and other online revenue streams.
The court has yet to determine the specific remedies, which could include penalties or structural changes to prevent Google from setting itself as the default search engine. The legal process to finalize these remedies will begin next month.
The ruling is expected to face appeals from both Google and the U.S. Department of Justice, as well as state attorneys general. This legal battle comes at a time when new AI-enabled search tools, such as Perplexity AI, OpenAI's SearchGPT, and Bing, are emerging as potential challengers to Google's dominance.
These AI tools aim to simplify the increasingly complex internet by providing users with comprehensive answers without leaving the search page, potentially reshaping the future of internet search.