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US Government Pushing for Google’s Sale of Chrome to Combat Search Monopoly

US Government Pushing for Google’s Sale of Chrome to Combat Search Monopoly

The Justice Department seeks drastic measures, including selling Chrome and new data licensing rules, to curb Google’s dominance in search and AI markets.

In a significant move to address Google’s dominance in the digital space, top officials from the US Justice Department have decided to ask a judge to force the tech giant to sell its Chrome browser, marking a historic push to break its monopoly on the search market. This comes after a ruling in August that found Google guilty of illegally monopolising online search, and the Justice Department is now planning further actions that could reshape the tech industry.

In addition to the Chrome sale, the Justice Department intends to propose measures that would impact Google’s Android operating system and artificial intelligence (AI) ventures, which have become increasingly linked to its broader advertising strategy. These actions are part of an ongoing effort, which began under the Trump administration and continues with President Joe Biden’s leadership, to rein in one of the most influential technology companies in the world.

The sale of Chrome would be a direct hit to Google’s key advertising revenue model. Chrome is a central gateway for users to access Google’s search engine, allowing the company to collect data on its users’ online activities, which is crucial for targeted ads. Chrome also funnels users toward Google’s new AI product, Gemini, further enhancing its hold on the digital ecosystem.

Google’s Vice President of Regulatory Affairs, Lee-Anne Mulholland, has criticized the government’s approach, calling it a “radical agenda” that goes beyond legal issues, claiming that such intervention could harm consumers, developers, and the future of American tech innovation. Despite these objections, the Justice Department is pressing ahead with its case, backed by several states that have joined the lawsuit.

The proposal to force Google to sell Chrome, which commands approximately 61% of the US browser market, could drastically alter the landscape of online search and AI. However, the government may choose to delay or alter the decision on the sale of Chrome depending on how other proposed remedies — like requiring Google to licence its search data — are implemented. The move is the most ambitious antitrust effort against a tech giant since the failed attempt to break up Microsoft two decades ago.

Although some experts see the forced sale of Chrome as a long shot, others suggest that the deal could be attractive to companies such as OpenAI, which could benefit from Chrome’s distribution capabilities and advertising infrastructure. However, the path forward is not clear, as companies like Amazon, also under antitrust scrutiny, may be limited in their ability to complete such a massive transaction.

In addition to the potential sale of Chrome, the Justice Department’s plan also includes requiring Google to licence data from its search engine and provide websites with more control over how their content is used by Google’s AI tools. These measures are designed to foster greater competition in the search market and ensure that Google’s rivals have access to critical data to improve their own services.

The proposal also includes decoupling Google’s Android operating system from its search and app store services, which are currently bundled together, further promoting competition. In addition, Google could be required to provide advertisers with more control over where their ads appear, in a bid to make the advertising market more transparent and competitive.

If the measures are implemented, they could have profound implications for the future of the tech industry. Google, however, has indicated it will appeal the August ruling, and the judge overseeing the case, Amit Mehta, has set a hearing for April 2024 to discuss possible remedies.

For now, the Justice Department and state attorneys-general are pushing for a series of changes that could force Google to rethink its entire business strategy, especially its reliance on data and AI. The coming months will determine whether these proposals will gain traction in the courts, with the potential to reshape the digital landscape for years to come.

Andy Thomas
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