Malcolm Owen
Google could be forced to split its Chrome browser from the core company by the US Department for Justice based on the results of an antitrust probem, as part of lawsuits expected to be launched in the coming weeks.
Preparation work for the lawsuits could lead to a court-ordered breakup of Google's business, the first in a number of centuries in the United States, with the search giant's main revenue sources being put at risk. As part of the discussions, the Justice Department and state prosecutors currently investigating Google over antitrust issues are considering making Google get rid of both its browser and parts of the advertising business it controls.
Sources with knowledge of talks advised to Politico of the discussions, but no final decisions on what course of action to recommend have been made. Investigators have taken the opportunity to ask the opinions of experts and competitors in the online advertising industry for advice, to work out how to reduce Google's dominant control in the field, with some pointing to the sale of Chrome being a potential outcome.
Part of the criticism for Chrome is due to its dominance in the browser market, making up some 60% of desktop browsers and 37% of mobile browser use in the United States. With such a sizable audience, the impact of initiatives affecting advertising by Google are effectively considered an industry standard.
As Google also operates a major search business, its dominance in both fields led to criticisms that it could use web histories of Chrome users to enhance its advertising business. In July, Google said it would phase out third-party cookie use in Chrome over two years, under the claim it would enhance consumer privacy, though such a move would also affect online advertising in the long run.
While non-Google marketing firms would be heavily impacted by the phasing out of third-party cookies, which are used to track advertising effectiveness, Google's ability to gain similar data from Chrome directly would enable it to continue such tracking, giving it a major advantage.
At the same time, the Department of Justice is also working on an antitrust lawsuit against Google over its control of online search, one which could be filed before the end of the month.
The news of potential legal action against Google arrives a week after the US House of Representatives were said to recommended the break-up of major tech companies like Google, including Apple, Amazon, Facebook, and Google. Following a series of hearings on antitrust in tech, a report from the House antitrust subcommittee points to companies like Apple and Google having tremendous power in the market, and that changes have to be made.
Apple has had to deal with many antitrust lawsuits in recent years, but it remains to be seen how a recommendation for breakup would affect the company and its various businesses.
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11 Comments
So Chrome doesn't have a monopoly share on any platform, but the browser has to split from Google?
Unlike Safari and Edge, you actually have to make an effort to install Chrome.
Sorry, I think Chrome is shite, but no one is making me use it, so this is stupid.
I've been a political activist for 60 years. Proud working class roots...and a geek as part of my work since getting online in 1983. 1920's political and economic analysis is more than out-of-date in some arenas. It is absurd. Forcing a firm like Google to split off their browser group into a separate company would be laughable - if the idjits in Congress could figure out how to laugh at more than, say, poor people dying of inadequate healthcare, housing and education.
They could increase the cost of doing business for a free product. Yeah, yeah, I hear all the yammering from competitors. Virtually all of that is rooted in competing with an existing company, established infrastructure, experienced staff...often, a full treasury. Sucks, doesn't it? Maybe our government bureaucrats can help out? Aside from a level playing field, there needn't be much more. In fact, more would be unfair in most cases.
This brouhaha isn't going to be about the "little guy" getting a fair chance. It's about smallish to mid-level corporations trying to climb up to and over trail-breakers in most cases.
I suspect Chrome's dominance is already being challenged. With every recent Windows update Microsoft's Edge browser attempts to install itself as the default and replace any existing Chrome installation, but masking it for the most part. If a user just clicks thru which is probably common your settings and links will all be transferred to Microsoft. Same with OneDrvie which by default tries to replace your current cloud storage.