DOJ: Google Pays $10 Billion a Year to Stifle Competition

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DOJ: Google Pays $10 Billion a Year to Stifle Competition

The DOJ has come out swinging in its case against Google, saying it pays billions per year in a successful effort to maintain its monopoly and stifle competition.

The US has launched the biggest antitrust case since 2001’s case against Microsoft, this time targeting Google over the company’s core business. Google is accused of illegally maintaining its search monopoly, harming both search and Android users.

In opening statements, DOJ lawyer Kenneth Dintzer minced no words describing what is at stake (via CNN):

This case is about the future of the internet, and whether Google’s search engine will ever face meaningful competition.

Dintzer went on to say that Google pays Apple and other companies a whopping $10 billion per year to keep its search as the default option on various web browsers and mobile devices. In addition, Google places stipulations on companies that want to use the Android OS for their phones, forcing them to bundle the company’s apps and services.

In return, such exclusivity deals help Google continually vacuum up vast quantities of data, which helps it further its dominance.

“This feedback loop, this wheel has been turning for 12 years, and it always turns to Google’s advantage,” Dintzer said.

“The harm from Google contracts affects every phone and computer in the country,” Dintzer added.

If the DOJ wins its case, it will have profound impacts on the search market and could finally open the door to meaningful competition for the first time in decades.

DOJ: Google Pays $10 Billion a Year to Stifle Competition
Matt Milano

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