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The US government is contemplating breaking up search and ads giant Google, accusing it of causin “pernicious harms” Americans.
As reported by the BBC, the US Department of Justice (DOJ) is considering remedies after a court ruled in August that Google illegally stifled competition in online search.
Google accused of market dominance
The DOJ accuses the search giant of using products like Chrome and Android to direct users to its search engine, enabling it to dominate the market and stifle competition.
This has allowed Google to charge higher ad prices while lowering the quality of its services, it claimed.
The DOJ is now considering remedies to prevent Google from using its products to favour its search engine, with detailed proposals expected by Wednesday, November 20th, 2024.
Google is also preparing its own set of proposed remedies which it can submit a month after by Friday, December 20th 2024.
“Radical” plans
Google has strongly opposed the proposals, labeling them “radical” and warned that a breakup of the tech firm could harm consumers, businesses and developers.
In a blog post, Google VP of regulatory affairs Lee-Anne Mulholland called the DOJ’s proposals “government overreach”. She warned any such changes would lead to higher prices as Chrome and Android would need to generate their own revenue streams.
Mulholland also argued that Google’s payments to Apple and Samsung help subsidise their products, and ending them could also raise prices.
