U.S. Judge Rules Google Monopolized Search Through Illegal Tactics

A U.S. judge has determined that Google violated antitrust laws by spending billions to maintain its monopoly as the default search engine. This landmark decision paves the way for further legal proceedings and possible significant changes in the online advertising landscape dominated by Google. Alphabet's shares fell after the ruling.

A U.S. judge ruled Monday that Google violated antitrust law, spending billions to create an unlawful monopoly and become the world's default search engine. This marks the first significant victory for federal authorities challenging Big Tech's market dominance. The ruling sets up a second trial to address potential remedies, including a possible breakup of Google parent Alphabet, significantly impacting the online advertising landscape.

This is a green light for aggressive U.S. antitrust enforcers tackling Big Tech, a sector scrutinized from all political angles. "Google is a monopolist and has acted as one to maintain its monopoly," wrote U.S. District Judge Amit Mehta, noting Google controls about 90% of the online search market and 95% on smartphones.

The legal battles could extend into next year or even 2026, with potential appeals to higher courts. Alphabet's shares dropped 4.5% amid a tech stock decline driven by recession fears. Google stated plans to appeal, maintaining it offers the best search engine but shouldn't be restricted in its availability. U.S. Attorney General Merrick Garland hailed the ruling as a historic win for the American people, emphasizing no company is above the law.

(With inputs from agencies.)