Google is threatening to break away from the US

The US government is considering seeking the dissolution of the world’s largest search engine, Google, which it accuses of creating “dangerous risks” to Americans.

The Department of Justice (DOJ) has been considering so-called remedies since a A landmark court decision in August which found that Google had illegally crushed the competition in Internet search.

If the DOJ moves forward with the proposed remedies — and is accepted by the judge in the case — it would represent arguably the largest regulatory intervention in the history of big technology.

Google has pushed back hard on the proposals, describing them as “strong” and “sweeping” and saying they “risk harming consumers, businesses, and developers.”

Google has become the search engine for almost all Internet users in the world, accounting for nearly 90% of all Internet searches.

The DOJ accused the company of using some of its products, such as the Chrome browser and Android app, to get users into its search engine, where it makes money by selling ads.

“Google’s illegal conduct continued for more than a decade and involved a number of self-aggrandizing tactics,” the DOJ said. in court.

It said that this means that their competitors have not been able to gain a foothold in the internet search market.

It added that this lack of competition allowed Google to charge unusually high prices for ads “while degrading the quality of those ads and related services”.

The DOJ said it is considering “remedies that would prevent Google from using products like Chrome, Play [its app store]and Android to benefit Google search and Google search-related products”.

The DOJ is expected to deliver a more detailed set of 20 proposals in November.

Google will be able to submit its proposed remedies on December 20.

In a blog post, Google’s vice president of regulatory affairs, Lee-Anne Mulholland, said the recommendations amounted to “government exploitation” and could result in higher prices for consumers.

Ms. Mulholland acknowledged that Google is making its Chrome browser and Android app free because they are gateways “to help people access the web and use our products.”

He warned that if they were to split from Google, they would have to start making money themselves – which would lead to higher prices.

Ms. Mulholland also pointed out that by paying companies like Apple and Samsung billions of dollars a year to be the default search engine on their devices, they are effectively subsidizing those brands.

Therefore, if they stop paying, the prices of those products will go up, he said.

Google also argued that the online advertising market is competitive, citing the Wall Street Journal the subject which means many people are turning to TikTok and Amazon to search instead.

However, the same article said that Google still has more than 50% of the market for search ads.

If the goal is to reduce Google’s hold on the search market, it will require more than just a regulatory change, said Xiaofeng Wang, principal analyst at technology consultancy Forrester.

“It would open up a lot of space for competitors, including smaller players, to increase their market share, leading to a diverse and competitive market,” he said.

“However, technological development and consumer acquisition strategies, including marketing, can be important to determine their ultimate success.”

The outcome of the case could also set a precedent for the regulation of other major American giants, Ms. Wang added.

“The US has also sued Meta Platforms, Amazon.com, and Apple, saying they are illegally maintaining monopolies. Therefore, if Google’s case passes, it will affect the tech giants,” he said.