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Google faces new legal challenges as states seek competitive reforms

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Friday, November 22, 2024

Google faces new legal challenges as states seek competitive reforms

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Illinois Attorney General Kwame Raoul | Ballotpedia

Attorney General Kwame Raoul has announced a collaborative effort with the U.S. Department of Justice and a bipartisan group of 38 attorneys general to introduce remedies aimed at dismantling Google's monopoly in the internet search engine market. The coalition seeks to restore competition, which they argue will benefit consumers by providing more options and better search results.

"For too long, Google has maintained a monopoly as an online search engine," Raoul stated. "The remedies included in our proposed final judgement will ensure increased competition for consumers who have been left with few alternatives to Google’s platform."

In 2020, Raoul and other attorneys general filed a lawsuit against Google, accusing it of maintaining its dominance through anticompetitive contracts and conduct. This lawsuit complemented an earlier federal antitrust case filed by the DOJ in October 2020.

A significant ruling came in August 2024 when a D.C. federal district court judge found that Google had violated federal antitrust laws by sustaining its monopoly over online searches and search text ads. The focus now is on determining the appropriate measures to end Google's monopolistic practices and promote fair competition.

The proposed final judgment suggests several actions to achieve these goals. It aims to terminate Google's search distribution contracts and revenue-sharing agreements, preventing the company from paying to be the default search engine on devices or browsers. Additionally, Google would be required to share data obtained through its monopoly with competitors while ensuring privacy protections.

Another key aspect of the proposal is the divestiture of Chrome, Google's web browser responsible for many searches conducted on its platform. If necessary remedies are not met or prove ineffective, further divestitures could include Google's Android operating system.

Furthermore, Google would be prohibited from using its ownership or control over products like Android to stifle competition or prioritize its services unfairly. The company must also allow publishers to opt out of having their data used for training AI models or in Generative AI responses.

Raoul and his colleagues propose that Google fund a public education campaign explaining their actions' illegality and informing consumers about alternative search engines available. This campaign might involve temporary payments from Google for users trying non-Google search engines.

A five-member technical committee will oversee implementing these remedies over ten years. A hearing regarding these proposals is scheduled between April 22 and May 2, 2025.

Attorneys general from states including Alaska, Arizona, Colorado, Connecticut, Delaware, Hawaii, Idaho, Iowa, Kansas among others joined Raoul in filing today's proposed judgment.

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