Google loses antitrust case on search engine dominance
Alphabet’s Google faced a setback as a U.S. Federal Judge ruled on Monday that the tech giant unlawfully maintained its dominance in the online search and text advertising sectors, News.Az reports citing Investing . The Department of Justice won this legal battle, marking a significant milestone in their antitrust efforts.
In his decision, Judge Amit Mehta in Washington declared, “Google is a monopolist, and it has engaged in practices to preserve its monopoly.” He found that Google breached Section 2 of the Sherman Act by sustaining its monopoly in the U.S. markets for general search services and general text advertising through exclusive distribution deals.
The verdict, which Google can appeal, represents a crucial victory for the DOJ. The government had argued that Google's agreements with companies like Apple (NASDAQ), which made Google the default search engine on smartphones, violated antitrust regulations.
Alphabet and the DOJ did not immediately respond to requests for comment from Investing.com.
In recent trading, Alphabet Inc Class A (NASDAQ) shares fell by 7%.
In his decision, Judge Amit Mehta in Washington declared, “Google is a monopolist, and it has engaged in practices to preserve its monopoly.” He found that Google breached Section 2 of the Sherman Act by sustaining its monopoly in the U.S. markets for general search services and general text advertising through exclusive distribution deals.
The verdict, which Google can appeal, represents a crucial victory for the DOJ. The government had argued that Google's agreements with companies like Apple (NASDAQ), which made Google the default search engine on smartphones, violated antitrust regulations.
Alphabet and the DOJ did not immediately respond to requests for comment from Investing.com.
In recent trading, Alphabet Inc Class A (NASDAQ) shares fell by 7%.
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