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States, Justice Department seek changes to Google business practices to end search engine monopoly

LEGAL NEWSLINE

Wednesday, November 27, 2024

States, Justice Department seek changes to Google business practices to end search engine monopoly

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Phil Weiser | Phil Weiser Official Photo

 State attorneys general along with the Justice Department have proposed a robust package of remedies to end Google’s unlawful monopoly over internet search engines and to restore competition to benefit consumers.

In December of 2020, Colorado Attorney General Phil Weiser led a bipartisan coalition of 38 states in filing a lawsuit alleging that Google illegally maintains its monopoly power over general search engines through anticompetitive contracts and conduct. The multistate lawsuit was a companion to an earlier federal antitrust lawsuit the Justice Department filed in October 2020.

In a landmark decision in August 2024, a D.C. federal district court judge ruled that Google violated federal antitrust laws by illegally maintaining a monopoly in online search and search text ads. At issue now are the remedies the court will impose to end Google’s improper conduct that has stifled competition and harmed consumers, and the steps necessary to restore competition for the benefit of consumers.

“Google’s illegal monopolization of search and search advertising has harmed consumers, thwarted innovation, and undermined the competitive marketplace. It’s critical that the judge mandate effective remedies that address the harms to competition and provide consumers with the benefits of an open and fair marketplace. We will continue to press for and oversee the necessary remedies to Google’s monopolistic conduct,” said Weiser.

The proposed final judgment, or PFJ, filed with the court seeks to end Google’s illegal monopoly and restore competition in several ways. The PFJ ends Google’s search distribution contracts and revenue sharing agreements by prohibiting Google from paying to be the initial default search engine on any phone, device, or browser. Google is also required to share its data and information—unlawfully obtained through its monopoly power—with rivals to improve the competitive choices available to consumers. This data will be shared in a manner that safeguards personal privacy and security.

Additionally, the PFJ seeks the divestiture of Chrome, the Google browser through which a significant percentage of all Google searches are made. Coupled with that request will be provisions for additional divestitures, including the Android operating system, if Google fails to comply with specific remedies or if the remedies prove ineffective.

Moreover, the PFJ prohibits Google from foreclosing competition or self-preferencing through its ownership or control of other products—including Android. Google cannot make Google Search or Google AI mandatory on Android devices, interfere with rival distribution, degrade rival quality, or leverage distributors to preference Google. Google must also give publishers the ability to opt out of having their data collected by Google for training Google’s AI models or used in Generative AI answers.

The states alone also propose a public education campaign funded by Google to inform consumers what Google did, why it is illegal, and what choices they actually have in search engines. The campaign may include reasonable, short-term payments from Google to users who try non-Google search engines.

The final order establishes a five-member technical committee to implement, monitor, and enforce the remedies for ten years.

A hearing on the proposed remedies is currently scheduled to begin on April 22, 2025, and conclude by May 2.

Original source can be found here.

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