U.S. Justice Department Has Filed Antitrust Lawsuit Against Google

[travelin cat]

[nytimes.com...]

The Justice Department plans to accuse Google of maintaining an illegal monopoly over search and search advertising in a lawsuit to be filed on Tuesday, the government’s most significant legal challenge to a tech company’s market power in a generation, according to officials at the agency who were not authorized to speak on the record.

[engine]

According to the WSJ, it's now filed the lawsuit.

The Justice Department filed an antitrust lawsuit Tuesday alleging that Google engaged in anticompetitive conduct to preserve monopolies in search and search advertising that form the cornerstones of its vast conglomerate.
[wsj.com...]

[engine]

Here's the U.S. Department of Justice link [justice.gov...]

[MayankParmar]

Google calls DOJ's case deeply flawed, says "people use Google because they choose to, not because they're forced to, or because they can't find alternatives

[JorgeV]

All of this, is just blah blah, I bet that, at the end, nothing will happen. (same for Facebook).

[ember]

At the very least, the whole process will take years.

[engine]

There's plenty of examples of failed attempts, and a few high profile examples of major companies in trouble.

It's probably worth reading this 2019 piece. [marketwatch.com...]

[glakes]

I bet that, at the end, nothing will happen.

Something will happen, but it will likely amount to very little.

About 1.5 years ago I presented years of my purchasing history on Amazon to the FTC, DOJ, Congress/Senate committee chairs, etc. I did a good job demonstrating how Amazon was using product reviews to steer consumers into purchasing largely offshore FBA items instead of domestic sellers that shipped their own goods. The responses were nothing but form letters. Consumers were, and still are, being duped on a massive scale yet no action by the Feds.

I'm of the belief that before Amazon, Google, Facebook, etc. is even considered to be broken up, first the FTC and antitrust division of the DOJ needs a reboot with new staff and leadership. These entities are about the biggest do nothings in Federal Government, except for politicians. I take that back. The FTC and DOJ will step over a hundred dollar bill and go after a dime from some bozos price gouging for hand sanitizer. In other words, if the case requires them to actually work they will avoid it.

When you combine a bunch of computer illiterate and lazy federal employees, with an antitrust law created back in the horse and buggy days, the end result will likely be a fine and some minor tweaks on Google's part.

[NickMNS]

There is an election in 3 weeks. This is sure to please voters on all sides. Let's talk again next February or March, will see then how much real interest their is to pursue this.

[phranque]

on a related note:
Apple showing signs it may soon launch a search engine [webmasterworld.com]

[Edge]

Old person perspective....

America has tolerated many near business monopolies my entire life. Looking back in time there was an era where naked predatory capitalism was embraced (see Standard Oil and AT&T pre-1970). Ultimately, the consumer and related businesses and/or competitor businesses suffered by way of less services, quality of products they could purchase or excessive costs for products or services.

I’m mostly a fan of Google search however there is not much competition to compare them with. Real business competition is good for consumers and America but obviously tough for business.

Google is definitely a different company today than they were 20 years ago. I hope this legal effort creates a more competitive business playing field and better value and options for everybody whom uses the internet.

[engine]

I would be very surprised if the company gets broken up. When it established Alphabet it managed to sidestep the potential a little more than had it been under the Google umbrella.

It makes great claims that users love it, or wouldn't use it. That's not a reason the be the dominant player and to stifle competition. In certain sectors, you're still locked in. It's the same with Apple, but it's not the dominant player.
Google example: Have you ever tried to avoid using Google on Android? It's almost impossible, and certainly, some of the apps and services are baked in. Microsoft has cottoned on to this and is doing the same with Windows 10, but it's way behind Google on that front.

[mosxu]

Is this going to be another movie ? I mean in an American movie the bad guys always lose that is for brainwashing purposes.

[NickMNS]

Is this going to be another movie ? I mean in an American movie the bad guys always lose that is for brainwashing purposes.

Simple answer is yes., it always ends up as a movie. "The Social Network", "Snowden", "Star Wars" ....

What you should be asking is how will the scenario be framed. Is the government going to the "good guys", is Google using the "dark side of the force", or will Google be the good guy that is being crushed by the "Evil Empire"?

[tangor]

At present this is early days, however actions by Big Tech, including g, have lit a fire of determination that will wash over into the next US administration, no matter who wins the election.

If nothing else, significant changes to Section 230 will be made, that's a given, either party. The handwriting is on the wall for all to see ... as it goes BOTH WAYS!

Don't expect any real movement until 2021.

[heisje]

Don't expect any real movement until 2021.

Did you mean : Don't expect any real movement until 2041?

[heisje]

NYT

Mr. Barr’s grip over the investigation tightened when the head of the Justice Department’s antitrust division, Makan Delrahim, recused himself from the investigation because he represented Google in its acquisition of the ad service DoubleClick in 2007.

OMG!

[IanTurner]

What you should be asking is how will the scenario be framed. Is the government going to the "good guys", is Google using the "dark side of the force", or will Google be the good guy that is being crushed by the "Evil Empire"?

That will depend on who is financing the movie.

[mosxu]

“head of the Justice Department’s antitrust division, Makan Delrahim represented Google in its acquisition of the ad service DoubleClick in 2007”

Just waking up to the fact that we webmasters have no say. Putting up with personalised money and let’s not forget the zombies too!

[glakes]

@ heisje

This is the way it works in the USA. Big Tech and Big Government in bed together.

Those associated with big tech tend to find jobs in Government while those in Government find jobs in big tech. Matt Cutts, who was IMO one of the few "good guys" at Google, now runs the US Digital Service. Then you have Keith Alexander, who ran the NSA (2005-21014) during the Snowden mass surveillance scandal, who now sits on Amazon's Board of Directors. One would think that Keith Alexander's career would be over, after wiping his behind with the US Constitution, but not at all. Running a Government program that unlawfully spied on the American people, and those abroad, are apparently great qualifications for an Amazon Board seat.

The US Constitution prevents Government from spying on its citizens. However, Big Tech is allowed to do it and for "national security" reasons it benefits the US Government to have citizen's personal information held in trust by big monopolistic multi-national businesses such as Amazon and Google. This is part of the reason why I believe this antitrust lawsuit against Google won't have much of an impact on their operations. Quite simply, this lawsuit is designed to appease a gullible public and to justify a failed Government agency's existence.

[samwest]

Two scenarios depend upon the election 2020 results. In one, Google is set free to continue the carnage. In the other, they will become the carnage. That's all I have to say about that. [youtu.be...]

[Dooku]

Don't hang up on the exact title of the video because it explains much much more, like how big corporations like G can exist and do what they do in the current political and economic structure in the USA:
[youtube.com...]

Quote from the video: "The creation of monopolies so that you destroy competition. A constant consolidation of these mega corporations which then not only fix prices and jack prices up, but we know from FCC investigations they fix libor interest rates, I mean they fix everything. So, it's not really capitalism and then when they get into trouble it's corporate socialism and they go running to the State and loot the US treasury."

Anyone remember 2008...........and who saved the banks, rich people and corporations.......yes the working guys and gals with their tax dollars. Yes they hate socialism in the USA with a vengeance.......until they need it for themselves.

[JesterMagic]

I would hope to see some changes like Google being broken up (if that is the best option) but it will take years if it ever happens. At least this is a start and the filing seems to cover a lot of the issues everyone complains about here on WebmasterWorld.

Someone posted a rumor above that Apple may start a search engine. Even if true and it syphons users off of Google just take a look at how both operate their own app stores. Both take similar commissions from apps. They may not be working "together" to fix prices but they don't plan to start any sort of price war or anything to upset their own economies.

Plus Apple is in trouble as well with some of their anti competitive like practices.

[MrSavage]

Somewhat relevant, I just did a search (yes, I know about "personalization" and work around that) and did see 2 "normal" results, followed by a batch of 4 or 5 links to YouTube. Not video thumbnails, but regular looking search results. Google has been looking at adding shopping links into YouTube (testing it) and it's so simple to see how their search dominance is problematic when looking at this one simple example. Can the FCC connect simple dots too? If it took this long I have my doubts. Google owns search, video and ads. And this just happened overnight, apparently. Too many people (the exclusive influencial club) making money to care.

[brotherhood of LAN]

>Apple

It's a bit of an awkward deal because the G payment represents 15-20% of their income. Whatever happens I'm sure Apple will have a contingency.

[engine]

Mod note
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Thank you.

[mosxu]

Talking about government is politics, the government should say we need at least 5 search engines with similar market share competing for advertisers:

Their offers will be:

Search Engine A:
High personalised buyer traffic 25$ per click.
Search Engine B:
Pay only when you convert: 25% commission
Search Engine C:
No US Dollars pay for clicks in Libra
Search Engine D:
No search. Allow surveillance and adequate ads will follow
Search Engine E:
A brain computer interface will make you buy things without seeing any ads

[NickMNS]

Here is an interesting quote from an article from NPR.

Buried on Page 36 of the Justice Department lawsuit accusing Google of abusing its monopoly power is this remarkable figure: $8 billion to $12 billion.
That's the hefty sum Google allegedly paid Apple for one of the most prized pieces of real estate in the world of online search: default status on iPhones and all other Apple devices.

Followed by:

The sky-high stakes meant that before the agreement was finalized, Apple CEO Tim Cook and Google Chief Executive Sundar Pichai met in private, in 2018, to discuss how the two Silicon Valley powerhouses could collaborate to "drive search revenue growth."

@phranque posted that Apple may be launching it's own search engine. I would be very surprised if the current conditions persist. Would you take the risk of launching your search engine when your rival is paying billions not to? Now if this case goes forward and Google can't pay to Apple not to play, there may be business case.


Here is the full article:
[wnyc.org...]

[mosxu]

I feel that have to reply to the “Evil Empire” remark:

The world is where it is today because of America. Google may have achieved quantum supremacy with Chinese help but for us it means nothing:

We love America more than ever before and with the help of God, America will defeat “the evil”

[heisje]

The world is where it is today because of America.

No, I won't have that : the sorry state of the the world today cannot be attributed exclusively to America. And God has nothing to do with it.
.