With a few days left for the elections, the Justice Department of the United States is suing Google for antitrust. They believe that Google is using its power and position by abusing the data that they have. The suits filed say that Google is breaking the law by taking a monopolistic payment in search advertisements. DOJ Jeffrey A. Rosen states that Google is dominating in the tech world. Hence, their economic power keeps on increasing due to massive numbers of users and investors. It says that the organization is using exclusionary methods which is affecting other competitors.
In 1998, Microsoft was sued for anti-competitive practices and now Google. The trillion-dollar company plays a major role in every person’s life across the globe. Around 90% of people do their search activities on Google. This makes Google the only choice for consumption not allowing any other organization to rise. The lawsuit also says that the company is putting a stop to innovation. The break is required so that there are fewer advertising prices.
Why exactly is the DOJ suing Google?
In 2019, an investigation started against the giant tech companies such as Facebook, Apple, and Google. The investigation started based on certain allegations and accusations. There were claims that the company is buying any rival who is trying to enter the market. They are also kicking out rivals by saying that those organizations are not secure. Such statements are being made from a position of power. Google earns more than $50 million for advertising activities. Google said that the lawsuit is flawed and does not make sense. They believe that people use Google because they do not have such a quality alternative. They are not forcing anyone.
Finally some ACTION! We are going to see an antitrust lawsuit filed against Google by the DOJ! It's about time!
— Buzz Patterson for Congress (CA-7) (@BuzzPatterson) October 20, 2020
Google is assembling the USA v Microsoft (1998) Avengers to fend off the DOJ's monopoly maintenance lawsuit.
– Wilson Sonsini's Susan Creighton (Netscape)
– Williams & Connolly's John Schmidtlein (States)
– Rope & Gray's Mark Popofsky (DOJ)
— Ben Remaly (@BenRemaly) October 27, 2020
Today’s lawsuit by the Department of Justice is deeply flawed. People use Google because they choose to — not because they're forced to or because they can't find alternatives. We will have a full statement this morning.
— Google Public Policy (@googlepubpolicy) October 20, 2020
This is the first time both the democrats and republicans have come together. The politicians have had complaints regarding the guidelines that do not allow them to express their opinion. Google is known to pay billions to top smartphone companies to make it their default engine. They have faced several lawsuits in the past too. However, nothing has affected the company to date. In fact, it still ranks among the top tech organizations.
How did the other organizations react to this?
Taking advantage of this situation Apple is working on its own search engine. The lawsuits on Google affects many other organizations. If they win the case, it can be helpful for others. However, if they lose, it will affect everyone’s business. The DOJ may sue Amazon too for bringing third-party into the business and launching it at a competitive price. For Apple, many say that they are using the app store to earn Monopoly. The Epic Games case comes out as one of the examples. In 1984, the American telephone and telegraph underwent a similar antitrust case which brought in Bell system diversities. Later on, they settled it but this affected the income of the organization. On 30th October, the first hearing date has been set. In the coming days Sundar Pichai, Mark Zuckerberg, and Jack Dorsey will have to face the senator committee.
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