The U.S. Department of Justice (DOJ) is considering a rare and significant antitrust action that could lead to the breakup of tech giant Google. This potential move follows a major court ruling that found Google had monopolized the online search market, as reported by Bloomberg.

The DOJ is deliberating on possible solutions after Judge Amit Mehta's ruling on August 5, which determined that Google had illegally dominated the online search and search text ads markets. This decision, made in the U.S. District Court for the District of Columbia, is a major win for the government in its efforts to challenge the power of big tech companies.

Google's Potential Breakup

One of the most drastic measures under consideration is breaking up Google by requiring the company to sell off major parts of its business. Bloomberg's sources suggest that the Android operating system and Chrome web browser, both central to Google's dominance, could be targeted. Android operates on about 2.5 billion devices globally, while Chrome is a leading web browser.

Another potential divestment could involve Google Ads, formerly known as AdWords, which is a significant revenue source for the company. In 2020, AdWords generated over $100 billion, making up around two-thirds of Google's total revenue.

Other Considerations

Less extreme options include mandating that Google share more of its data with competitors. This could mean making some data available to rival search engines like Bing or DuckDuckGo, similar to recent European regulations.

The DOJ might also seek to ban exclusive contracts that make Google the default search engine on various devices and browsers. These contracts, worth billions, include payments to companies like Apple, which reportedly received $20 billion from Google.

Additionally, there are concerns about Google's advantage in artificial intelligence (AI) development due to its search dominance. The DOJ might seek to prevent Google from using content from websites for its AI products without permission.

If the DOJ decides to proceed with breaking up Google, it would be the most significant antitrust action against a U.S. company since AT&T's breakup in the 1980s. The plan would need Judge Mehta's approval before Google is required to comply.

Google has announced its intention to appeal Judge Mehta's ruling, asserting that its success is due to offering a superior product. Kent Walker, Google's president of global affairs, commented that the decision "acknowledges Google provides the best search engine but argues that we should not be allowed to make it readily available."

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