U.S. Advocates Independent Functioning of Google and Chrome
In the City of Sin City (San Francisco), the tech god Google faced some tough questions in court on Monday, with major hearings aimed at deciding if this titan, penalized for misusing its market power, needs to split from its browser- Chromium, as the race for artificial intelligence (AI) threatens to shuffle the deck of online search.
"Today, we draw the curtains on this groundbreaking trial," declared Gail Slater, chief of the Department of Justice's antitrust division on Monday.
"It's about the future of the net," she asserted in her opening remarks.
"Should we give choices to Americans and nurture innovation and competition in cyberspace? Or will we maintain the status quo, favoring the monopoly titans of big tech companies?"
The Silicon Valley-based firm was found guilty last year of shifty tactics to fortify and defend its monopoly in online search by Judge Amit Mehta.
This federal judge from Washington D.C. now interrogates both parties again before deciding Google's punishment.
The current trial is detached from the one in Virginia district court, where Judge Leonie Brinkema ruled on Thursday that Google wielded a monopoly in the realm of online advertising.
U.S. antitrust enforcers are calling for Google to surrender Chrome, the world's most popular internet browser, as it serves as a significant access gate to the search engine, putting smaller competitors at a disadvantage.
They also demand Judge Mehta to prohibit the company from signing deals with Apple, Samsung, and other smartphone manufacturers to install Google as the default application on their devices.
Without Chrome, Yory Wurmser, an analyst at Emarketer argues,"Google would lose a considerable source of data on user searches and their online habits."
"These measures," he adds, "aren't merely about providing consumers with more choices but also about equipping competitors with the data they need to craft a search engine that's equally effective."
Google dismisses the demands as "draconian" in November of last year.
"The Department of Justice's strategy," grouses Kent Walker, President of Global Affairs at Google, "would cede unprecedented authority to the government, which would eventually harm American consumers, developers, and small businesses, and jeopardize the United States' global economic and technological leadership."
Threat of a Monopoly in AI
For Gail Slater, an appointee to the Department of Justice by Donald Trump, a separation is crucial to encourage innovation at a time when competition is rampant in generative AI.
The surge of interfaces like ChatGPT (OpenAI) and Gemini (Google) signifies the boldest challenge to Google's search dominance since its inception, as chatbots can now answer a wide variety of user inquiries, including those previously relegated to the internet pioneer.
Google, based in Mountain View, is increasingly incorporating generative AI to address internet users' queries directly via Google.
The U.S. attorney seeks to obstruct Google from transforming its current monopoly into another one, as startups like OpenAI and Perplexity AI endeavor to compete in AI-enhanced online search.
Despite Donald Trump's politically charged break with Joe Biden, his administration has continued the antitrust demands made by the previous administration at year's end.
"The Trump administration championed policies that support and advance artificial intelligence," affirms Gail Slater.
"Nothing will speed up AI advancements more than a competitive market, liberated from gatekeepers and monopolies."
Tech CEOs have been schmoozing with Donald Trump since his electoral victory, hoping to gain his favor, particularly concerning the myriad of ongoing antitrust investigations and lawsuits.
However, Mark Zuckerberg didn't escape last week's lawsuit against his company Meta.
And it seems the U.S. antitrust enforcers are prepared to face them head-on. Gale Slater likened Google's "autocracy" over the search market to that of Standard Oil in oil and AT&T in telecommunications in the 20th century.
Regardless of Judge Mehta's ruling, Google is expected to challenge, potentially prolonging the proceedings for years. The case could even make its way to the Supreme Court.
"Gail Slater, the appointed chief of the Department of Justice's antitrust division, declared today that the trial's conclusions will shape the future of the internet. She emphasized that the future of cyberspace hinges on whether choices should be offered to Americans or if the tech monopolies should maintain their status.
The U.S. antitrust enforcers are urging significant changes in Google's business, particularly the division of the company from its browser, Chrome, and the prohibition of deals with device manufacturers.
The demand for such measures isn't just about providing consumers with more choices but also about leveling the playing field for competitors in the AI-enhanced online search market.
Google, facing these demands, has previously dismissed them as draconian, arguing that such measures would harm American consumers, businesses, and the nation's technological leadership.
The surging interfaces in AI, such as ChatGPT and Gemini, pose a significant challenge to Google's search dominance, making competition regulation a critical concern in the realm of technology and politics."
