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Industry Contributor 3 Jun 2019 - 2 min read

Google faces U.S. antitrust investigation

By Paul McIntyre - Executive Editor

The U.S Justice Department is taking steps to probe Google’s business practices to determine whether it has breached antitrust law (Reuters)

 

Key points

  • Source says investigation would focus on whether Google has given preference to its own services in search results
  • Justice Department could be more potent than Federal Trade Commission, which conducted Google inquiry in 2013, though DoJ failed in recent bid to stop AT&T-Time Warner deal
  • Google has been fined billions in Europe over search and advertising practices
An investigation will take years to play out. But marketers that have intertwined their business with Google – i.e. most people - should take note. The political appetite and rhetoric on tech platforms is reaching fever pitch in the U.S. Some of those seeking nomination to run against Trump in next year’s election are making ‘break up big tech’ a key plank of their campaigns. That means the pressure will keep building, and Trump’s Justice Department will feel that pressure. Could Google, or Alphabet get broken up? Recent history suggests not. But there’s a case to be made. If it happened, and the market continues to align infrastructure and reliance on Google’s stack, there’ll be some serious unwinding required ahead.

What do you think?

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