Google Loses DOJ Antitrust Suit Over Search Monopoly, Shares Fall 4.6%

Aug 5, 2024, 07:09 PM

Google has lost a significant antitrust lawsuit brought by the U.S. Department of Justice (DOJ), with a federal judge ruling that the tech giant violated U.S. antitrust law. The ruling, issued by Judge Amit Mehta, found that Google maintained its monopoly power over general search services and general text advertising through exclusive distribution agreements. These agreements, including $26 billion in payments to make its search engine the default on smartphone web browsers, were deemed anticompetitive and in violation of Section 2 of the Sherman Act. This landmark decision marks the DOJ's first major victory against a monopoly in over 20 years and could potentially reshape the competitive landscape in the search and digital advertising markets. Remedies to come. Alphabet shares fell 4.6% following the ruling.