The Department of Justice, along with a coalition of state attorneys general, has initiated a groundbreaking antitrust trial against tech giant Google, accusing the company of maintaining a monopoly in the search engine market through strategic barriers and 'feedback loops' of paying device makers to defend its power.
Google Antitrust Lawsuit: DOJ Claims Internet Giant Uses ‘Feedback Loop’ of Payoffs to Maintain Monopoly PowerThe Department of Justice, along with a coalition of state attorneys general, has initiated a groundbreaking antitrust trial against tech giant Google, accusing the company of maintaining a monopoly in the search engine market through strategic barriers and “feedback loops” of paying device makers to defend its power.
According to the DOJ, Google’s alleged feedback loop involves paying for default search engine status, which allows the company to garner more search queries. These queries, in turn, generate more data that Google uses to improve its search quality. This enhanced search quality then helps Google generate higher profits, which it uses to maintain its default status across browsers and devices.
On the other side, Google argues that its search engine’s popularity is a result of continuous innovation rather than efforts to stifle competition. “Competition has never been more real,” said John Schmidtlein, Google’s lawyer. He also pointed out that browser and device makers enter into agreements with Google willingly, seeing it as beneficial for their business models.
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