US court finds Google guilty of search engine monopoly
Judge Amit P. Mehta of the US District Court for the District of Columbia has ruled that Google has illegally monopolised the search engine market.
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According to the 286-page ruling, the company paid $26 billion to smartphone and web browser makers to make its search engine the default option, preventing competitors from gaining a foothold in the market. Mehta also noted that Google does not have a monopoly in the search engine advertising market, as Amazon and Walmart have started offering search-related ads on their own websites.
However, Google does have a monopoly on search-related text ads that appear at the top of the results page. This is the first time in more than two decades that a US district court has found the technology company guilty.
It is reported that Google regularly paid Samsung and Apple for the use of its search engine, which significantly increased the company's value and generated more than $300 billion in revenue, mostly through advertising on the search engine. It also had an impact on market share, as Google's share rose from 80 per cent in 2009 to 90 per cent by 2020.
The judge has not yet announced what changes he will seek, but possible measures include offering Android users in the US a choice of search engine when setting up a new device or separating the search business from other Alphabet products such as Android or Chrome. Google has said it will appeal the decision, arguing that its success is based on user preference.
Source: Reuters