Overview of the Case:
Google, the leading American technology company, lost a court case filed by the U.S. Department of Justice in 2020.
The case accused Google of being an illegal monopoly.
A U.S. District judge ruled that Google misused its dominant market position to block competitors from offering their services freely.
Accusations Against Google:
Google is pre-installed as the default search engine on most new phones, laptops, and other electronic devices.
Google pays billions of dollars annually to companies like Apple and Samsung to ensure its search engine is the default on their devices.
For example, Google paid $20 billion in 2022 to Apple for this privilege on Safari, Apple's default browser.
This practice benefits Google by discouraging users from trying other search engines, giving Google an unfair advantage over its competitors.
Google holds over 90% of the global search engine market, leading to accusations of monopoly and market abuse.
Google's size and market dominance allow it to dictate terms and potentially influence regulators more than smaller competitors.
The judge acknowledged that a large market share alone doesn't make a company an illegal monopoly.
The absence of legal barriers to market entry and the potential for competitors to emerge with better products were noted as factors against labeling Google as a harmful monopoly.
Microsoft once dominated the search engine market before Google emerged as a superior competitor, suggesting that Google's dominance could similarly be challenged in the future.
Proponents argue that Google's market position is due to its superior service, not just its ability to pay for default status.
They liken paying for default status to buying premium real estate for better visibility, a practice open to competitors as well.
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