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US officials are reportedly considering splitting up Google, after a massive antitrust case ruled that the company has a search monopoly.
Google is facing serious scrutiny in the US, as the Department of Justice and the Federal Trade Commission (FTC) have their eyes on the tech giant’s power.
The US Department is considering breaking up Google, according to sources speaking to Bloomberg. This follows a recent antitrust case that judged Google has monopoly power in the search market and that its distribution agreements have “anticompetitive effects”.
Meanwhile, the FTC recently weighed in on a case between Google and Epic Games, in which the game company accused Google of monopolising how consumers access apps on Android devices through the Google Play Store. The jury in this case voted that Google has monopoly power when it comes to the Play Store and that it engaged in anticompetitive practices.
In a ‘friend of the court’ filing, the FTC shared its own opinion on the case and the potential decision the judge could make. The Commission noted that US judges have broad power to restore market competition and punish companies that hold monopoly power.
“Google’s monopolistic behaviour has significantly harmed millions of users in the United States,” the FTC said. “Allowing monopolists to reap the rewards of illegal monopolisation while avoiding the costs of restoring the competition that they unlawfully eliminated would undermine deterrence.”
Epic Games declined to comment on the FTC filing and Google did not respond to a request from Reuters to comment, but Google has previously denied any wrongdoing regarding Epic’s claims.
Meanwhile, the recent antitrust case from the Department of Justice could have serious ramifications on the tech giant. Various proposals are being discussed including splitting Android or Chrome from Google, The New York Times reports.
A decision like that would be the biggest move the US has made to tackle a company for monopolisation since it attempt to split up Microsoft in 2000. The Microsoft ruling was overturned by the US Court of Appeals for the District of Columbia and Microsoft reached a different settlement in 2001. However, the case could be used as a precedent against Google.
The tech giant will fight back against such a plan however. Earlier this month, its president of global affairs Kent Walker said the company will appeal the antitrust ruling.
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