Alphabet Inc.'s Google reportedly spends over $10 billion annually to maintain its monopoly as the default search engine on web browsers and mobile devices, according to statements made by the US Justice Department during an ongoing antitrust trial in Washington.

The government attorney accused Google of exploiting its monopoly in general search, asserting that Google achieved monopoly status by 2010 and now commands over 89 percent of the online search market. They argued that Google pays substantial sums to secure default status because of its unparalleled influence in the industry.

“This feedback loop, this wheel, has been turning for more than 12 years,” said Kenneth Dintzer, the Justice Department’s lead courtroom lawyer. “And it always turns to Google’s advantage.” he added as reported by The New York Times.

They allege that Google has illegally maintained its dominance by making substantial payments to tech competitors, smartphone manufacturers, and wireless providers in exchange for preselected default status on mobile phones and web browsers.

In response, Google's attorney, John Schmidtlein, denied that the company has violated antitrust laws to maintain its dominance. He argued that Google's popularity is a result of its search engine's quality and emphasizes that dissatisfied users have the option to switch with "a few easy clicks" to alternative search engines like Microsoft's Bing, Yahoo, or DuckDuckGo.

"There are lots of ways users access the web, other than through default search engines, and people use them all the time," the company's lawyer, John Schmidtlein, said.

"The evidence in this case will show Google competed on the merits to win pre-installation and default status, and that its browser and Android partners judged Google to be the best search engine for its users." he added reported BBC.

What is the US vs Google trial?

The trial's initial phase aims to determine whether Google has unlawfully monopolized the online search market. The case is being presided over by US District Judge Amit Mehta, with a decision expected next year to determine if Google has violated the law.

This antitrust trial, among the largest of its kind involving a US company, is being pursued by the Justice Department and attorneys general from 52 states and US territories. Sundar Pichai, the CEO of Google, as well as representatives from Apple will testify throughout the trial, which is scheduled to last 10 weeks.

If the Justice Department gets victory they may pursue remedies in the second phase, potentially leading to the separation of Alphabet's search business from other products such as Android and Google Maps, marking the most significant forced breakup of a US corporation since AT&T in 1984.

In October 2020, the Justice Department filed a lawsuit alleging Google of preserving its search market dominance against the law. A few months later, a collection of solicitors general from Puerto Rico, Guam, 35 states, and the District of Columbia brought their own legal action, alleging that Google had exploited its monopoly on the search market. Throughout the trial, Judge Mehta is taking into account both lawsuits. Since the lawsuit was filed, more than five million documents and depositions of more than 150 witnesses have been submitted to the court.

(With Agency inputs)

First Published:Sept 13, 2023 12:32 PM IST