Americans and Monopolies: A Far Cry from a Love Story
The US Department of Justice is considering dismantling Google following a landmark decision by a federal court, which ruled that the tech giant maintains an illegal monopoly on the search market. Although still in the study phase and deemed unlikely by most experts, the market reacted yesterday, with Alphabet's stock closing 3.7% lower on Wall Street.
This is the first operation of its kind since the unsuccessful attempt to break up Microsoft Corp at the beginning of the millennium. A more practical approach in this case would be to require Google to share more data with its competitors and implement measures to prevent it from gaining an unfair advantage in artificial intelligence products. Heavy fines could be imposed.
Google has announced its intention to appeal the decision. If unsuccessful, this could benefit competitors like Microsoft's Bing and affect companies involved in distribution agreements, such as Apple.
Even if the administration prevails in court, it may take several years to materialize. Regardless of the outcome, this case will have significant consequences for big tech companies and antitrust regulation. Strategies may change as early as today to try to stay ahead of developments while avoiding legal troubles.
