Sep 6, 2024, 8:37 PM
Sep 6, 2024, 8:37 PM

US judge sets deadline for Google penalty proposal by December

Highlights
  • A federal judge has set a deadline for the U.S. Justice Department to propose penalties against Google for its monopolistic practices in the internet search market.
  • The judge aims for a trial regarding these penalties to take place in March or April of next year, with a ruling expected before Labor Day 2024.
  • The outcome of this legal process could significantly impact Google's business operations and the broader tech industry.
Story

A federal judge has mandated that the U.S. Justice Department submit a proposal for penalties against Google by the end of the year, following a ruling that identified the company as a monopolist in the internet search market. This decision initiates a new phase in the legal proceedings aimed at determining appropriate punishments for Google's alleged misconduct. The judge expressed a desire for the trial regarding these penalties to occur in March or April of the following year, with a ruling expected before Labor Day 2024. The Justice Department has not yet indicated the severity of the penalties it may propose, but potential targets include Google's longstanding agreements with major tech companies like Apple and Samsung, which ensure its search engine remains the default option on various devices. These arrangements have reportedly cost Google over $25 billion annually, with a significant portion going to Apple for its iPhone. In addition to financial penalties, the Justice Department could consider more drastic measures, such as requiring Google to divest parts of its business, including the Chrome browser and Android operating system, both of which contribute to its search traffic dominance. The implications of these actions could reshape the competitive landscape of the tech industry. During the recent court hearing, Justice Department attorneys emphasized the need for sufficient time to develop a comprehensive proposal that also takes into account Google's advancements in artificial intelligence and their potential impact on the market. Google's legal team hopes for a balanced approach that addresses the judge's concerns without resorting to extreme measures.

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