Google could be broken up after landmark DOJ proposals
Google could be forced to sell Android and Chrome following an unprecedented ruling by the Department of Justice (DOJ).
The US government wants to break up the tech giant after it engaged in what the DOJ deemed “unlawful conduct” and monopolistic behaviour to build its internet search empire.
Google currently commands a 90% share in the search engine market.
The DOJ says Google’s dominance wasn’t a natural development but was aided by forceful tactics involving its suite of products and services.
Google also benefitted by selling ads for exorbitant prices on its search engine, which was a significant revenue source.
These tactics effectively crushed competition and made it impossible for rivals to gain a foothold.
The DOJ has now recommended drastic remedies.
It has proposed spinning off Google’s core products so it can no longer use them to gain an advantage in search-related services.
The news has been a bombshell for Google.
It claims the proposal could hurt “consumers, businesses and developers.”
The company’s VP of regulatory affairs, Lee-Anne Mulholland, also complained of “government overreach”.
The DOJ will now put together a detailed set of proposals, which will be announced in late November.
While many will welcome the authorities clipping Google’s wings, experts say regulatory change won’t be enough.
Forrester’s principal analyst, Xiaofeng Wang, believes smaller rivals will need support through tech innovations and consumer adoption strategies to grow and thrive.
It could also spell danger for other mega-corps.
The US government has sued Meta, Apple, and Amazon in the past, and they now could be open to further scrutiny and action.