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WASHINGTON: The U.S. sued Google<\/a> on Tuesday, accusing the $1 trillion company of illegally using its market muscle to hobble rivals in the biggest challenge to the power and influence of Big Tech in decades.
The Justice Department lawsuit could lead to the break-up of an iconic company that has become all but synonymous with the internet<\/a> and assumed a central role in the day-to-day lives of billions of people around the globe.
Such an outcome is far from assured, however, and the case is likely to take years to resolve.
The lawsuit marks the first time the U.S. has cracked down on a major tech company since it sued Microsoft<\/a> Corp for anti-competitive practices in 1998. A settlement left the company intact, though the government's prior foray into Big Tech anti-trust - the 1974 case against AT&T - led to the breakup of the Bell System.
The federal government's complaint against Alphabet Inc's , which alleges that Google<\/a> acted unlawfully to maintain its position in search and search advertising on the internet<\/a>, was joined by 11 states. \"Absent a court order, Google will continue executing its anticompetitive strategy, crippling the competitive process, reducing consumer choice, and stifling innovation,\" the lawsuit states.
The government said Google has nearly 90% of all general search engine queries in the United States and almost 95% of searches on mobile.
Attorney General Bill Barr said his investigators had found Google does not compete on the quality of its search results but instead bought its success through payments to mobile phone makers and others.
\"The end result is that no one can feasibly challenge Google's dominance in search and search advertising,\" Barr said.
When asked on a conference call if the department was seeking a breakup or another remedy, Ryan Shores, a Justice Department official, said, \"Nothing is off the table, but a question of remedies is best addressed by the court after it's had a chance to hear all the evidence.\"
In its complaint, the Justice Department said that Americans were hurt by Google's actions. In its \"request for relief,\" it said it was seeking \"structural relief as needed to cure any anti-competitive harm.\" \"Structural relief\" in antitrust matters generally means the sale of an asset.
\"Ultimately it is consumers and advertisers that suffer from less choice, less innovation and less competitive advertising prices,\" the lawsuit states. \"So we are asking the court to break Google's grip on search distribution so the competition and innovation can take hold.\"
Google called the lawsuit \"deeply flawed,\" adding that people \"use Google because they choose to - not because they're forced to or because they can't find alternatives.\"
Investors seemed to shrug off news of the lawsuit, sending shares Alphabet up 1.9% to $1,563.51 on Tuesday afternoon.
\"It's like locking the proverbial door after the horse has bolted,\" said Neil Campling, head of tech media and telecom research at Mirabaud Securities in London, who added Google has already invested billions of dollars in infrastructure, technologies and talent. \"You can't simply unwind a decade of significant progress.\"
POLITICAL ELEMENT
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Tuesday's federal lawsuit marks a rare moment of agreement between the Trump administration and progressive Democrats. U.S. Senator Elizabeth Warren tweeted on Sept. 10, using the hash tag #BreakUpBigTech, that she wanted \"swift, aggressive action.\"
Still, coming just days before the U.S. presidential election, the filing's timing could be seen as a political gesture since it fulfills a promise made by President Donald Trump to his supporters to hold certain companies to account for allegedly stifling conservative voices.
Republicans often complain that social media companies including Google take action to reduce the spread of conservative viewpoints on their platforms. Lawmakers have sought, without explaining how, to use antitrust laws to compel Big Tech to stop these alleged limitations.
The complaint pointed to the billions of dollars that Google pays to smartphone makers such as Apple Inc, Samsung<\/a> and others to make Google's search engine the default on their devices.
This means that rival search engines never get the scale they need to improve their algorithms, and grow, the complaint said.
\"General search services, search advertising, and general search text advertising require complex algorithms that are constantly learning which organic results and ads best respond to user queries,\" the government said in its complaint. \"By using distribution agreements to lock up scale for itself and deny it to others, Google unlawfully maintains its monopolies.\"
Google has been successful at protecting its profit derived from the Android mobile operating system, which is officially open source but companies that change it are barred from lucrative revenue-sharing agreements.
Justice Department investigators found an internal Google analysis of restrictive agreements determined that just 1% of Google's worldwide Android search revenue was at risk of being lost to competitors.
\"This analysis noted that the growth in Google's search advertising revenue from Android distribution was 'driven by increased platform protection efforts and agreements,'\" the complaint found.
OTHER CHALLENGES
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The 11 states that joined the lawsuit all have Republican attorneys general.
More lawsuits could be in the offing since probes by state attorneys general into Google's broader businesses are under way, as well as an investigation of its broader digital advertising businesses. Attorneys general led by Texas are expected to file a separate lawsuit focused on digital advertising as soon as November, while a group led by Colorado is contemplating a more expansive lawsuit against Google.
The lawsuit comes more than a year after the Justice Department and Federal Trade Commission<\/a> began antitrust investigations into four big tech companies: Amazon.com Inc , Apple, Facebook<\/a> Inc and Google.
Seven years ago, the FTC settled an antitrust probe into Google over alleged bias in its search function to favor its products, among other issues. The settlement came over the objections of some FTC staff attorneys.
Google has faced similar legal challenges overseas.
The European Union fined Google $1.7 billion in 2019 for stopping websites from using Google's rivals to find advertisers, $2.6 billion in 2017 for favoring its own shopping business in search, and $4.9 billion in 2018 for blocking rivals on its wireless Android operating system.
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华盛顿:美国起诉谷歌周二,指责该公司1万亿美元的非法利用其市场力量阻碍对手的实力和影响力最大的挑战大几十年来科技。
司法部诉讼可能导致已成为一个标志性公司的解体的同义词互联网并承担核心作用在全球几十亿人的日常生活。
这样的结果远非十拿九稳,然而,情况可能需要数年时间才能解决。
诉讼是美国第一次打击的主要科技公司因为它起诉微软公司在1998年反竞争行为。结算离开了公司完整,尽管政府的前涉足大型科技股反垄断- 1974对AT&T贝尔系统导致分手。
字母(aapl . o:行情)的联邦政府的投诉,声称谷歌非法行动,维护其在搜索和搜索广告的地位互联网加入了11个州。“没有法院指令,谷歌将继续执行其反竞争策略,严重的竞争过程,减少消费者的选择,扼杀创新,”的诉讼。
政府表示谷歌已经将近90%的所有通用搜索引擎查询美国和几乎95%的搜索在移动。
总检察长比尔巴尔说,他的调查人员发现谷歌并不在其搜索结果的质量竞争,而是通过向手机制造商购买它的成功等等。
“最终的结果是,没有人能够真正地挑战谷歌在搜索领域的优势和搜索广告,”巴尔说。
当被问及如果部门的电话会议上寻求分手或其他补救,瑞安海岸,司法部官员说,“没有什么是不可能了,但一个补救措施的问题最好通过法院来解决之后有机会听到所有的证据。”
在起诉书中,司法部说,谷歌的行动。美国人受伤在其“请求救援,”它说,这是寻求“结构性救济需要治愈任何反竞争伤害。”"Structural relief" in antitrust matters generally means the sale of an asset.
“最终消费者和广告商,遭受更少的选择,更少的创新和竞争力的广告价格,”诉讼。“我们要求法院打破谷歌搜索分布所以竞争和创新的控制可以抓住。”
谷歌称该诉讼“漏洞百出”,并称,“使用谷歌,因为他们选择——而不是因为他们被迫或因为他们找不到替代品。”
投资者似乎摆脱诉讼的消息,发送字母股票上涨1.9%,至156乐动扑克3 .51美元周二下午。
“这就像锁的门马螺栓后,”尼尔Campling说,媒体和电信科技研究主管Mirabaud Securities在伦敦,他还说谷歌已经投入了数十亿美元的基础设施、技术和人才。“你不能简单地放松十年的重大进展。”
政治因素
周二的联邦诉讼之间的协议标志着难得战胜民主党政府和进步。美国参议员伊丽莎白·沃伦在9月10日,使用散列标签# BreakUpBigTech,她希望“迅速、激进的行动。”
不过,即将到来的前几天,美国总统大选,申请的时机可能被视为一种政治姿态,因为它满足承诺由唐纳德·特朗普主席对他的支持者认为某些公司账户涉嫌令人窒息的保守派。
共和党人经常抱怨社交媒体公司包括谷歌采取行动减少对他们的保守观点的传播平台。议员寻求,没有解释,用反垄断法来迫使大型科技停止这些所谓的局限性。
起诉书指出谷歌支付的数十亿美元的苹果(aapl . o:行情)等智能手机制造商,三星和其他人使谷歌的搜索引擎默认他们的设备上。
这意味着竞争对手搜索引擎不会他们需要改进算法,规模和成长,抱怨说。
“通用搜索服务,搜索广告,和通用搜索文本广告需要复杂的算法,不断学习有机最佳响应用户的查询结果和广告,“政府在其投诉表示。“通过使用分配协议锁定量表本身和否认,谷歌非法维护其垄断。”
谷歌一直成功地保护其利润来源于Android移动操作系统,这是正式开放源码,但公司改变它被禁止有利可图的收入分成协议。
司法部调查人员发现内部的谷歌分析限制性协议确定,全世界只有1%的谷歌的Android搜索收入的风险是输给了竞争对手。
”分析指出,谷歌的搜索广告收入的增长从Android分布的保护工作和协议由增加平台”,“投诉。
其他挑战
的11个州加入了共和党律师诉讼都有。
更多的诉讼可能会出现因为探针州检察长为谷歌的广泛的企业,以及其广泛的数字广告业务的调查。检察长由德克萨斯州将文件集中在一个单独的诉讼数字广告只要11月,由科罗拉多时考虑一个更广泛的对谷歌提起诉讼。
该诉讼是美国司法部和后一年多联邦贸易委员会开始反垄断调查四大科技公司:Amazon.com公司,苹果,脸谱网(aapl . o:行情)和谷歌。
七年前,联邦贸易委员会解决反垄断调查谷歌涉嫌偏见在其搜索功能支持其产品,以及其他问题。解决了一些贸易委员会的反对员工律师。
谷歌也面临类似的法律挑战海外。
欧盟罚款在17亿年谷歌2019美元阻止网站使用谷歌的竞争对手找到广告商,在2017年26亿美元支持自己的购物搜索业务,和49亿年的2018美元阻止竞争对手在其无线Android操作系统。
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