Leonie Brinkema orders Google to retool its digital advertising monopoly without a full breakup.
U.S. District Judge Leonie Brinkema ruled that Google must retool the system powering its monopoly in digital advertising. The decision spares the company from a wrenching breakup sought by the U.S. government.
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This marks the second time in a year that Google has received a reprieve from a Justice Department proposal to dismantle its internet empire. Google’s corporate parent, Alphabet Inc., has a market value of $4.11 trillion. The Justice Department pushed for a penalty that would have required the company to sell its popular Chrome web browser and parts of the technology underlying its advertising system. However, Judge Brinkema rejected the government's argument that Google should be forced to sell parts of the technology that generates a significant portion of the company's nearly $400 billion in annual ad sales. Google argued that breaking up the complex network that distributes ads for online publishers would be unduly harsh. The judge agreed to most of the remedies suggested by the two sides. While the changes may decrease Google's revenue or slow future growth, the ruling is expected to be viewed by investors as a speed bump rather than a major overhaul.
Sources
Paywall and unreadable sources
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Why the Courts Are Hesitant to Punish Tech Giants Like Meta and Google
The New York Times
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In a Big Win, Google Won’t Have to Break Up Its Ad Tech Business, Court Rules
The New York Times
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Google spared break-up of online advertising monopoly
Financial Times
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Another Monopoly Allowed to Stand
The American Prospect