Google Granted Temporary Stay in Antitrust Lawsuit
Google has just been granted a temporary stay of execution in one of the antitrust lawsuits filed against the business. The Department of Justice (DOJ) and other important states were unable to prove that Google defends a monopoly by favoring its products in search results over those of competitors, according to a ruling made by a federal judge named Amit Mehta. In accordance with the judgment, the plaintiffs have failed to demonstrate that there is an “anticompetitive effect.” Antitrust accusations about Android’s compatibility and anti-fragmentation agreements, Google Assistant, Internet of Things devices, and the Android Open Source Project were all dismissed by Judge Mehta.
Temporary Relief for Google
DOJ Can Still Present Final Arguments
According to Judge Mehta, the DOJ can still present its final arguments. Notably, officials assert that Google is abusing its position of power by striking deals with Android makers that require them to pre-load Google applications and set Google as the default search engine on their mobile browsers. The Department of Justice and individual states are concerned that this will prevent competitors like Bing and DuckDuckGo from gaining considerable market share.
Google Responds to the Judge’s Decision
Kent Walker, President of Google’s Global Affairs, issued a statement in which he said that the tech giant is pleased with the judge’s “careful consideration” in dismissing the search issues. He claims that the only reason people select Google is “because it’s helpful” and that the company will demonstrate in court that its other methods are lawful and competitive. He also claims that people only choose Google because of its reputation. We have emailed the Department of Justice (DOJ) requesting comment and will update you as soon as we hear back from them.
Previous Legal Actions Against Google
In 2020, the Department of Justice and its partner states initiated legal action. They did not call for any particular penalties at the time; nevertheless, such punishments could include monetary fines, restrictions on commercial activities, or the separation of divisions into their distinct businesses. Google defended itself then by stating that it was still required to negotiate agreements and faced competition from services such as Twitter (now X) and Expedia.
Impact of the Ruling
Multiple other antitrust cases have been brought against Google, some of which have been brought in the United States. In 2020, a coalition of states filed a lawsuit against Google for allegedly anticompetitive pricing of advertisements. However, due to the fact that the scope has been constricted, the case may become more challenging, not to mention that the potential damages have been reduced.