Alphabet Inc.’s Google is facing a growing legal storm with multiple antitrust lawsuits targeting its business operations, from app distribution to online search to digital advertising. This week marked a significant moment for the tech giant, as a federal court ordered the company to make changes to its Play Store and the U.S. Department of Justice (DOJ) threatened to break up parts of the company. According to Reuters, these developments could reshape Google’s future and reduce its dominance in multiple markets.
Android apps under scrutiny
Google was dealt a major blow earlier this week when U.S. District Judge James Donato in San Francisco ordered Google to review key aspects of its Android app business. The court’s decision stems from a lawsuit filed in 2020 by Fortnite maker Epic Games, which accused Google of monopolizing app distribution and payment methods on Android. Ta. Starting in November, for the next three years, Google will be required to allow Android users to download apps from competing platforms and use alternative in-app payment methods. Additionally, tech giants can no longer pay device manufacturers to pre-install the Play Store.
Google has announced its intention to appeal the jury verdict underlying this lawsuit and challenge the changes ordered. As part of a related legal action, Google agreed to pay $700 million to settle claims from U.S. consumers, saying it charged exorbitant prices for its apps. However, according to Reuters, Judge Donato expressed concerns about whether the proposed settlement amount was appropriate.
In a separate but related development, Epic Games recently filed another lawsuit accusing Google of colluding with Samsung to protect the Play Store from competition. Both companies deny the allegations.
online search monopoly
Google’s overwhelming dominance of the online search market is at the center of a landmark lawsuit filed by the Justice Department in 2020. In August, U.S. District Judge Amit Mehta ruled that Google had illegally established a monopoly by paying billions of dollars to maintain its position. Default search engine for various platforms. The case could take a decisive turn soon, as the Justice Department may seek a court order to break up parts of the company, according to Reuters. Potential actions could include forcing Google to divest from the Chrome browser or Android operating system.
Read more: Google offers to settle Indian antitrust case over smart TVs
The Justice Department’s specific proposal to break up Google is expected to be announced in November, but the tech giant is expected to submit its own rescue proposal by late December. The court is scheduled to hear arguments in April 2025, potentially leading to major changes in how Google operates its core business.
Advantages of digital advertising
In addition to apps and search, Google’s digital advertising empire is also under attack. The company is currently defending itself in three separate lawsuits accusing it of monopolizing the online display advertising market. U.S. District Judge Leonie Brinkema of Virginia is overseeing a lawsuit brought by the Justice Department and several states that alleges Google has abused its dominant position to crush competitors and undermine its customers. They allege that they forced them to rely on the company’s advertising tools. Closing arguments in the case are scheduled for November, according to Reuters.
Meanwhile, Google is also facing related legal battles in federal courts in Texas and New York. In Texas, a coalition of states is suing the company over its advertising practices, with a trial set for March 2025. Publishers and advertisers have also joined forces to accuse Google of overcharging and stifling competition, alleging that the company’s misconduct has cost them significant revenue. Advertising technology in practice.
The road ahead
With multiple legal challenges looming, Google is facing unprecedented pressure to change its business practices. The outcome of these lawsuits could have far-reaching implications not only for the company but also for the broader technology industry.
Source: Reuters
