Google, the major tech company, is under accusations for being a search engine monopoly
Google, the Silicon Valley giant was recently under the spot after the US Department of Justice filed an antitrust lawsuit on Tuesday 20th of October 2020, accusing the tech company of unlawfully holding a search engine monopoly.
The antitrust lawsuit filed in the U.S. District Court in the District of Columbia against the California-based company is the first antitrust lawsuit to be filed in the techworld since the Microsoft lawsuit back in the 90s.
In the complaint, the American agency said :“For many years, Google has used anticompetitive tactics to maintain and extend its monopolies in the markets for general search services, search advertising and general search text advertising — the cornerstones of its empire”.
The Department of Justice also declared that Google has turned from the darling of Silicon Valley to a “monopoly gatekeeper for the internet”.
One of the reasons behind such accusations is Google’s engagement with Apple in a win-win deal in which, for billions of dollars, Google would remain the default search engine in every Apple product. Apple, on the other hand, gets one fifth of its $260 billion income (221 494 000 000 €) due to this agreement.
In its response, Google denied its engagement in any anticompetitive behavior saying that the lawsuit would do nothing to help consumers but on the contrary : ” it would raise phone prices and make it harder for people to get the search services they want to use”.
In addition, Kent Walker, the senior vice-president of global affairs for Google, claimed that “people use Google because they choose to, not because they’re forced to or because they can’t find alternatives”.
The timing of the suit is very questionable with the American elections coming up and the Trump administration’s constant attacks on the big tech companies.
Besides, the lawsuit raises lots of questions about whether Google’s anticompetitive strategy is holding up innovation or not, and what strategies the Tech Giant is using to maintain this monopoly.