A US judge hearing a Justice Department antitrust lawsuit accusing Google of illegally maintaining monopolies in the Internet search market has upheld key claims by the federal government. Google a unit of Alphabet has asked for summary judgment on all of the government’s claims in the case.
In a ruling released Friday in Washington, U.S. Judge Amit Mehta granted Google’s request on certain grounds, but allowed the rest of the claims to go to trial next month. The Justice Department sued Google in 2020, accusing the $1.6 trillion company of illegally using its market power to undermine competitors in the biggest challenge to Big Tech’s power and influence since it sued Microsoft Corp. in 1998.
Mehta is also handling a case brought against Google by the attorneys general of 38 states and territories. Mehta dismissed accusations made by the states that Google made it difficult for Internet users to find niche search engines like Expedia for travel or OpenTable for restaurants, saying the states had “failed to demonstrate the requisite anticompetitive effect in the relevant market.”
Google said Friday that it appreciates the court’s “careful consideration and decision to dismiss the Google Search design claims” in the case brought by the states. “We look forward to demonstrating in court that the promotion and distribution of our services is both legal and pro-competitive,” added Kent Walker, Google’s chief legal officer.
Google has denied any wrongdoing in both cases
Colorado Attorney General Phil Weiser said he was pleased with Mehta’s opinion, adding, “We will continue to evaluate how best to enforce and establish a pattern of illegal behavior by Google that harms consumers and competition.”
Mehta noted that Google LLC operates America’s largest general internet search engine, whose “brand name has become so ubiquitous that dictionaries recognize it as a verb.” He noted that Google had nearly 90 percent market share in 2020, and advertisers spent more than $80 billion annually to reach ordinary search users.
“A company with monopoly power is acting unlawfully only when its conduct stifles competition,” Mehta wrote. Mehta also said the government would have to prove that each specific action such as Google’s treatment of search advertising violated antitrust law. This means that the government cannot show a series of actions and claim that they cumulatively violate antitrust law.
The government, which filed its lawsuit in the waning days of the Trump administration, alleged that Google illegally paid billions of dollars each year to smartphone makers like Apple, LG, Motorola and Samsung, carriers like Verizon and default browsers like Mozilla. find your customers. Mehta refused to dismiss this argument.
The Justice Department did not immediately comment.
In late April, a U.S. judge in Virginia rejected Google’s motion to dismiss a separate Justice Department antitrust case targeting ad tech, saying the government’s case was strong enough to proceed. The government says Google should be forced to sell its ad management suite. Google has also denied any wrongdoing in this case.
