The U.S. government is reportedly considering breaking up Alphabet Inc.’s Google as part of an intensified antitrust review. This consideration was made by the U.S. Justice Department after the court ruling delivered last week, which held that Google violated antitrust law, spending billions of dollars to create an illegal monopoly and become the world’s default search engine
The move marking the first big win for federal authorities taking on the market dominance of Big Tech after efforts to break up Microsoft Corp. two decades ago.
According to Bloomburg, the U.S Department of Justice also consider other option of forcing Google to share more data with competitors and measures to prevent it from gaining an unfair advantage in AI products.
The reporter also mentioned that “divesting the Android operating system was one of the remedies most frequently discussed by justice department attorneys”.
He also mentioned that “officials are also looking at trying to force a possible sale of AdWords, the platform the company uses to sell text advertising,” as stated by one of the involved party.
Furthermore, the Antitrust analysis also proposed that among the proposed solutions is the possibility of separating Google’s search business from its advertising and cloud computing operations. Another scenario under consideration involves splitting Google’s various units, such as YouTube and Google Cloud, into independent entities. These measures aim to reduce Google’s market control and foster a more competitive environment.
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“We need to ensure that large tech companies do not have undue influence over the market. If breaking up Google is necessary to promote competition, it is a step we must consider,” remarked a legislative figure supporting stronger antitrust measures.
The Federal Trade Commission, which also enforces antitrust laws, filed a brief in that case this week and said in a statement that Google shouldn’t be allowed “to reap the rewards of illegal monopolization.”
The spokesperson from the Federal Trade Commission also commented saying “We are committed to ensuring a competitive marketplace. As we continue our investigation, all potential remedies, including structural changes, are being considered,” said a spokesperson from the Federal Trade Commission.
If the U.S. proceeds with breaking up Google, it could set a precedent for similar actions against other major tech companies, such as Amazon, Apple, and Meta. This move would likely prompt a reevaluation of antitrust policies and could significantly impact the digital advertising market and global tech strategies. Although Federal antitrust regulators have sued Meta Platforms, Amazon.com and Apple.com in the past four years, claiming the companies illegally maintained monopolies, this possible ruling could be the game changer.
