FILE - In this Sept. 24, 2019, file photo a sign is shown on a Google building at their campus in Mountain View, Calif. The Justice Department is expected to file a lawsuit Tuesday alleging that Google has been abusing its online dominance in online search to stifle competition and harm consumers. The litigation marks the government’s most significant act to protect competition since its groundbreaking case against Microsoft more than 20 years ago. The suit could be an opening salvo ahead of other major government antitrust actions, given ongoing investigations of major tech companies including Apple, Amazon and Facebook at both the Justice Department and the Federal Trade Commission. (AP Photo/Jeff Chiu, File)

FILE - In this Sept. 24, 2019, file photo a sign is shown on a Google building at their campus in Mountain View, Calif. The Justice Department is expected to file a lawsuit Tuesday alleging that Google has been abusing its online dominance in online search to stifle competition and harm consumers. The litigation marks the government’s most significant act to protect competition since its groundbreaking case against Microsoft more than 20 years ago. The suit could be an opening salvo ahead of other major government antitrust actions, given ongoing investigations of major tech companies including Apple, Amazon and Facebook at both the Justice Department and the Federal Trade Commission. (AP Photo/Jeff Chiu, File)

U.S. Justice Dept. files landmark antitrust case against Google

Most of Google’s services are offered for free in exchange for personal information that helps it sell its ads

The Justice Department on Tuesday sued Google for antitrust violations, alleging that it abused its dominance in online search and advertising to stifle competition and harm consumers.

The lawsuit marks the government’s most significant act to protect competition since its groundbreaking case against Microsoft more than 20 years ago. It could be an opening salvo ahead of other major government antitrust actions, given ongoing investigations of major tech companies including Apple, Amazon and Facebook at both the Justice Department and the Federal Trade Commission.

“Google is the gateway to the internet and a search advertising behemoth,” U.S. Deputy Attorney General Jeff Rosen told reporters. “It has maintained its monopoly power through exclusionary practices that are harmful to competition.”

Antitrust cases in the technology industry have to move quickly, he said. Otherwise “we could lose the next wave of innovation.”

The Justice Department isn’t seeking specific changes in Google’s structure or other remedies at this point, but isn’t ruling out seeking additional relief, officials said.

Lawmakers and consumer advocates have long accused Google, whose corporate parent Alphabet Inc. has a market value just over $1 trillion, of abusing its dominance in online search and advertising to stifle competition and boost its profits. Critics contend that multibillion-dollar fines and mandated changes in Google’s practices imposed by European regulators in recent years weren’t severe enough and that structural changes are needed for Google to change its conduct.

Google responded immediately via tweet: “Today’s lawsuit by the Department of Justice is deeply flawed. People use Google because they choose to — not because they’re forced to or because they can’t find alternatives.”

The case was filed in federal court in Washington, D.C. It alleges that Google uses billions of dollars collected from advertisers to pay phone manufacturers to ensure Google is the default search engine on browsers. Eleven states, all with Republican attorneys general, joined the federal government in the lawsuit.

But several other states demurred. The attorneys general of New York, Colorado, Iowa, Nebraska, North Carolina, Tennessee and Utah released a statement Monday saying they have not concluded their investigation into Google and would want to consolidate their case with the DOJ’s if they decided to file. “It’s a bipartisan statement,” said spokesman Fabien Levy of the New York State attorney general’s office. “There’s things that still need to be fleshed out, basically,”

President Donald Trump’s administration has long had Google in its sights. One of Trump’s top economic advisers said two years ago that the White House was considering whether Google searches should be subject to government regulation. Trump has often criticized Google, recycling unfounded claims by conservatives that the search giant is biased against conservatives and suppresses their viewpoints, interferes with U.S. elections and prefers working with the Chinese military over the Pentagon.

Google controls about 90% of global web searches. The company has been bracing for the government’s action and is expected to fiercely oppose any attempt to force it to spin off its services into separate businesses.

The company, based in Mountain View, California, has long denied the claims of unfair competition. Google argues that although its businesses are large, they are useful and beneficial to consumers. It maintains that its services face ample competition and have unleashed innovations that help people manage their lives.

Most of Google’s services are offered for free in exchange for personal information that helps it sell its ads. Google insists that it holds no special power forcing people to use its free services or preventing them from going elsewhere.

A recent report from a House Judiciary subcommittee, following a year-long investigation into Big Tech’s market dominance, concluded that Google has monopoly power in the market for search. It said the company established its position in several markets through acquisition, snapping up successful technologies that other businesses had developed — buying an estimated 260 companies in 20 years.

The Democratic congressman who led that investigation called Tuesday’s action “long overdue” but said it’s important for the Justice Department to look beyond Google’s search business.

“It is critical that the Justice Department’s lawsuit focuses on Google’s monopolization of search and search advertising, while also targeting the anticompetitive business practices Google is using to leverage this monopoly into other areas, such as maps, browsers, video, and voice assistants,” Rep. David Cicilline of Rhode Island said in a statement.

The argument for reining in Google has gathered force as the company stretched far beyond its 1998 roots as a search engine governed by the motto “Don’t Be Evil.” It’s since grown into a diversified goliath with online tentacles that scoop up personal data from billions of people via services ranging from search, video and maps to smartphone software. That data helps feed the advertising machine that has turned Google into a behemoth.

The company owns the leading web browser in Chrome, the world’s largest smartphone operating system in Android, the top video site in YouTube and the most popular digital mapping system. Some critics have singled out YouTube and Android as among Google businesses that should be considered for divestiture.

With only two weeks to Election Day, the Trump Justice Department is taking bold legal action against Google on an issue of rare bipartisan agreement. Republicans and Democrats have accelerated their criticism of Big Tech in recent months, although sometimes for different reasons. It’s unclear what the status of the government’s suit against Google would be if a Joe Biden administration were to take over next year.

The Justice Department sought support for its suit from states across the country that share concerns about Google’s conduct. A bipartisan coalition of 50 U.S. states and territories, led by Texas Attorney General Ken Paxton, announced a year ago they were investigating Google’s business practices, citing “potential monopolistic behaviour.”

Arkansas, Florida, Georgia, Indiana, Kentucky, Louisiana, Mississippi, Missouri, Montana, South Carolina and Texas joined the Justice Department lawsuit.

___

AP Technology Writer Michael Liedtke contributed to this report from San Ramon, California.

___

Michael Balsamo And Marcy Gordon, The Associated Press


Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

GoogleUSA

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Kimberley case counts not at the point for 18 years and older community vaccination, says Interior Health. (File photo)
Many factors considered for smaller community-wide vaccination: Interior Health

East Kootenay resort town’s COVID-19 situation not at the point of community-wide vaccination, say officials

The BC Wildfire Service is urging caution amid forecasts of strong winds throughout the Kamloops Fire Centre. (BC Wildfire Service photo)
Strong winds forecasted for Kamloops Fire Centre, BC Wildfire service urges caution

“Wind can cause grass fires to spread very quickly,” says the BC Wildfire Service

A woman wears a protective face covering to help prevent the spread of COVID-19 as she walks past the emergency entrance of Vancouver General Hospital in Vancouver, B.C., Friday, April 9, 2021. THE CANADIAN PRESS/Jonathan Hayward
54 more cases of COVID-19 in Interior Health

Thirty-two people in the region are in hospital with the virus, 11 of them in intensive care

The freed osprey keeps a wary eye on its rescuers after being deposited on its nest. (Photo credit: Greg Hiltz)
Hydro crew in Ashcroft gets osprey rescue call-out they won’t soon forget

Bird was tangled in baling wire hanging from a hydro pole, necessitating a tricky rescue

Hesco baskets were first used outside the Cache Creek fire hall in 2020 (pictured), and have once again been put in place as a pre-emptive measure to safeguard the hall against possible flooding. (Photo credit: Barbara Roden)
Cache Creek taking pre-emptive measures to prevent flooding

Sand and sandbags will soon be available for all residents who need them

Canadian Prime Minister Justin Trudeau and United States President Joe Biden smile as they say farewell following a virtual joint statement in Ottawa, Tuesday, February 23, 2021. THE CANADIAN PRESS/Adrian Wyld
Trudeau pledges to cut emissions by 40% to 45% by 2030, short of U.S. goal

Trudeau announced target during a virtual climate summit convened by U.S. President Joe Biden

MLA Shirley Bond, right, answers questions during a press conference at Legislature in Victoria, B.C., on February 19, 2019. THE CANADIAN PRESS/Chad Hipolito
Former B.C. gaming minister says she wasn’t told directly about dirty cash flowing to casinos

Shirley Bond said Thursday civil forfeiture, gang violence and gambling addiction were also major concerns in 2011

RCMP Constable Etsell speaks to tourists leaving the area at a police roadblock on Westside Road south of Fintry, B.C., Thursday, July 23, 2009. THE CANADIAN PRESS/ Yvonne Berg
B.C. police say they take ‘exception’ to conducting roadblocks limiting travel

Asking the police to enforce roadblocks exposes officers to further risk and possible COVID-19 infections, says federation president Brian Sauve

As part of the province’s strategy to combat the opioid overdose crisis, take-home naloxone kits have been distributed throughout the province. (Courtesy of Gaëlle Nicolussi)
Vancouver Island could be at its worst point of overdose crises yet: medical health officer

Island Health issued overdose advisories for Victoria, various communities in the last two weeks

BC Hydro released a survey Thursday, April 22. It found that many British Columbians are unintentionally contributing to climate change with their yard maintenance choices. (Pixabay)
Spend a lot of time doing yard work? It might be contributing to climate change

Recent BC Hydro survey finds 60% of homeowners still use gas-powered lawnmowers and yard equipment

Journal de Montreal is seen in Montreal, on Thursday, April 22, 2021. The daily newspaper uses a file picture of Prime Minister Justin Trudeau dressed in traditional Indian clothing during his trip to India to illustrate a story on the Indian variant of the coronavirus. Paul Chiasson/The Canadian Press
Montreal newspaper blasted for front-page photo of Trudeau in India

Trudeau is wearing traditional Indian clothes and holding his hands together in prayer beside a caption that reads, ‘The Indian variant has arrived’

Nanaimo RCMP say a man was injured while pouring gunpowder on a backyard fire in Harewood on Wednesday, April 21. (File photo)
Nanaimo man hospitalized after pouring gunpowder onto backyard fire

RCMP investigating explosion in Harewood also came across a still for making alcohol on property

Provincial health officer Dr. Bonnie Henry arrives for briefing on the COVID-19 situation, B.C. legislature, Oct. 26, 2020 (B.C. government)
B.C. sees 1,006 COVID-19 cases Thursday, ‘alarming’ 502 in hospital

Vaccine bookings for people aged 60 and older set to start

Most Read