In a landmark decision, a U.S. judge ruled on Monday that Google violated antitrust laws, spending billions to establish an illegal monopoly as the world’s default search engine. This ruling marks a significant victory for federal authorities in their ongoing battle against Big Tech’s market dominance.
The Ruling and Its Implications
U.S. District Judge Amit Mehta declared that Google controls roughly 90% of the online search market and 95% of the mobile search market, solidifying its position as a monopolist. Mehta’s decision now opens the door to a second trial, which will explore potential remedies. These could include a breakup of Google’s parent company, Alphabet (GOOGL), a move that would dramatically alter the landscape of online advertising.
A Turning Point for Antitrust Enforcement
This ruling is seen as a green light for aggressive U.S. antitrust enforcers, as Big Tech faces increased scrutiny from both sides of the political aisle. U.S. Attorney General Merrick Garland hailed the decision as a “historic win for the American people,” emphasizing that no company is above the law. The White House echoed this sentiment, calling it a “pro-competition ruling” that promises a fairer internet for consumers.
Google’s Defense and Potential Appeals
Despite the ruling, Google remains defiant, announcing plans to appeal. The company argued that while the decision acknowledges its superior search engine, it unfairly penalizes Google for making it readily accessible. With the legal battle potentially stretching into 2026, the outcome could have long-lasting implications for the tech giant and the broader industry.
Broader Impact on Big Tech
This case is the first major ruling in a series of antitrust lawsuits targeting Big Tech companies, including Meta Platforms (META), Amazon (AMZN), and Apple (AAPL). The Google case, which spans two presidential administrations, underscores the bipartisan commitment to reining in monopolistic practices in the tech sector.
What’s Next?
As the legal proceedings continue, the impact on Google’s business model could be profound. Losing the ability to secure exclusive default agreements could significantly diminish its revenue, while a potential breakup could reshape the entire digital advertising industry.