The article discusses recent significant antitrust losses for Google. Two federal judges ruled that Google acted illegally to maintain monopolies in online advertising technology and online search.
Experts state that two such substantial antitrust wins against a single company in such a short time frame appear unprecedented. The rulings are seen as a serious threat to Google’s business model.
These decisions are part of a larger wave of antitrust cases against major tech companies. The article mentions a concurrent FTC lawsuit against Meta, alleging an illegal monopoly in social media due to the acquisitions of Instagram and WhatsApp.
The article highlights that while tech companies have often viewed antitrust scrutiny as a minor inconvenience, these rulings demonstrate a shift in the balance of power. The slow pace of legal processes contrasted with the rapid pace of technological advancements has been seen as beneficial to large tech companies. However, these recent events indicate that this dynamic is changing.
Silicon Valley’s tech giants have long regarded antitrust scrutiny as an irritating cost of doing business. There will be investigations, filings, depositions and even lawsuits.
Yet courts move slowly, while technology rushes ahead. Time works to the companies’ advantage, as the political winds shift and presidential administrations change. That dynamic often opens the door to light-touch settlements.
But the stakes rose sharply for Google on Thursday, when a federal judge ruled that the company had acted illegally to build a monopoly in some of its online advertising technology. In August, another federal judge found that Google had engaged in anticompetitive behavior to protect its monopoly in online search.
Antitrust experts said two big antitrust wins for the government against a single company in such a short time appeared to have no precedent.
“Two courts have reached similar conclusions in product markets that go to the heart of Google’s business,” said William Kovacic, a law professor at George Washington University and former chairman of the Federal Trade Commission. “That has to be seen as a real threat.”
The Google decisions are part of a wave of current antitrust cases challenging the power of the biggest tech companies. This week, the trial began in a suit by the F.T.C. claiming that Meta, formerly Facebook, cemented an illegal monopoly in social media through its acquisitions of Instagram and WhatsApp.
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