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DOJ proposals may include breaking up Google
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Google plans to appeal, citing robust competition
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Rivals like Yelp and DuckDuckGo propose ways to boost
competition
By Jody Godoy
NEW YORK, Oct 8 (Reuters) - The U.S. Department of
Justice is expected to outline on Tuesday what kind of actions
Alphabet's Google could be ordered to take to restore
competition in online search, potentially including a breakup of
the Big Tech company.
After a federal court in August ruled Google controls an
illegal monopoly in online search, smaller rivals want the court
to force Google to spin off its Chrome browser, or at least
prohibit it from continuing to pay billions of dollars to make
its search engine the default on devices such as Apple's ( AAPL ) iPhone.
The broad DOJ proposals are the next step in a landmark case
that has the potential to reshape how Americans find information
on the internet after a judge found Google, which processes 90%
of U.S. internet searches, had built an illegal monopoly.
U.S. District Judge Amit Mehta's ruling in Washington was a
major win for antitrust enforcers who have brought an ambitious
set of cases against Big Tech companies over the past four
years.
Google has said it plans to appeal, and that its search
engine has won users through its quality. Google said it faces
robust competition from Amazon ( AMZN ) and other sites where
users go directly to search for goods or services, and that
users can choose other search engines as their default.
Some companies that compete with Google have called for a
breakup.
Reviews site Yelp, which sued Google over search in
August, says spinning off Google's Chrome browser and AI
services should be on the table. Yelp also wants Google to be
prohibited from giving preference to its own local business
pages, which compete with Yelp, in search results.
Adam Epstein, president and co-CEO of search ad company
adMarketplace, said the threat of ordering Google to sell off
parts of its business could be used as a way to enforce less
drastic remedies.
"Google is not going to have the incentive to comply unless
they have the Damocles' sword of divestiture hanging above
them," he said.
Rival search engine company DuckDuckGo has called for the
court to require Google to license its search results to
competitors who could then build and improve their own products.
Microsoft ( MSFT ), which operates rival search engine Bing, and
Apple ( AAPL ), which receives billions of dollars annually from
Google, declined to comment.