Evercore ISI executive director Mark Mahaney discusses how the Justice Department’s lawsuit against Google will affect the stock price of ‘Varney & Co.’
The Justice Department argued Wednesday that Google must sell its Chrome web browser after a federal court ruled earlier this year that the company maintained an illegal monopoly over Internet search.
US regulators also said Google must share data and search results with competitors, among other things, in an effort to end the company’s dominance, according to Reuters.
“Google’s illegal conduct deprives competitors not only of critical distribution channels but also of distribution partners that could allow competitors to enter these markets in new and innovative ways,” the DOJ said in a court filing.
In August, a judge ruled that Google created an illegal monopoly internet searchmore than 90% of them are processed by the giant search engine.
JUSTICE DEPARTMENT ASKS JUDGE TO FORCE GOOGLE TO SELL CHROME BROWSER: REPORTS
Google must sell its Chrome web browser after a federal court ruled earlier this year that the company maintains an illegal monopoly on internet search, the DOJ said Wednesday. (Thilina Kalutotage/NurPhoto via Getty Images / Getty Images)
Google has made billion dollar payments to Apple and others device producers years to ensure that its search engine belongs to smartphones and web browsers in order to maintain its market share.
The DOJ’s proposed remedies could have a major impact on how Americans access information online while reducing Google’s revenue and giving its competitors a chance to grow.
Demands from the DOJ include barring Google from re-entering the browser market for five years, requiring Google to sell its Android mobile operating system if competition is not restored, and prohibiting Google from buying or investing in search competitors, based on the question . AI products or advertising technology, reports Reuters.
Over 90% of internet searches are processed through Google (Photos by Rafael Henrique/SOPA/LightRocket via Getty Images / Getty Images)
Google called the DOJ’s proposals excessive and said it would appeal.
GOOGLE DISCLAIMER TELLS CHROME USERS ‘INCOGNITO’ MODE MAY NOT BE AS SECRET AS THEY THINK
Google previously warned that selling Chrome and Android would “break themselves” because the company currently provides their code for free through open source.
Google has made billions of dollars in payments to Apple and other manufacturers over the years to ensure that it is the default search engine on smartphones and web browsers. (Reuters Photos)
The company will have the opportunity to present its proposals next month.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
US District Judge Amit Mehta has scheduled a hearing on the motions for April, though that could change once President-elect Donald Trump and his DOJ take over.
Reuters contributed to this report.
Source link
