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US antitrust action may split Google
The United States Justice Department (DOJ) is considering antitrust measures against Google, which could result in the first major corporate breakup in the tech sector in 40 years.
The DOJ and a coalition of state attorneys general presented Tuesday a detailed plan to tackle Google’s monopolistic practices in search and advertising.
This announcement follows US District Judge Amit Mehta’s ruling against Google in a landmark antitrust case last August.
The proposed remedies submitted to the court include both behavioral restrictions and structural measures, possibly requiring Google to divest segments of its business.
The DOJ’s proposed framework targets four critical areas.
First, it aims to limit default search agreements, pre-installations, and revenue-sharing arrangements that currently bolster Google’s market dominance. This could involve separating services such as Chrome, Google Play, and Android from its core search operations.
Secondly, the DOJ seeks to ensure that Google shares its search index, data, and algorithms, enhancing transparency in search results and ad rankings while prohibiting the misuse of private data.
Thirdly, the plan aims to prevent Google from using contracts to suppress competitors’ web content, granting publishers the option to refuse the use of their material for AI training.
Finally, the DOJ intends to restructure Google’s advanced advertising products to increase transparency in its advertising operations, including detailed auction and monetization data.
In response, Google criticized the DOJ’s proposal as “radical and sweeping,” warning that it could stifle innovation and limit consumer choices within the U.S. technology sector.
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