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Google trial concludes as judge considers key US antitrust claims

The US Justice Department and Google concluded their closing arguments in a significant antitrust trial, with allegations that Google has illegally maintained dominance over web search and related advertising, potentially influencing the future of the internet

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Delhi: The US Justice Department and Google concluded their closing arguments in a significant antitrust trial, with allegations that Google has illegally maintained dominance over web search and related advertising, potentially influencing the future of the internet. The case, initiated by the Trump administration, is the first among several targeting tech giants.

During the proceedings, the US District Judge Amit Mehta in Washington DC scrutinised whether platforms like TikTok, Facebook, and Instagram could be seen as viable alternatives for search advertising spend, focusing on their "substitute-ability" for advertisers—a key issue to be resolved.

David Dahlquist, representing the US government, argued that Google's advertising revenue, which constitutes about three-quarters of its total income, underpins its monopolistic power. He claimed Google was indifferent to raising prices or neglecting product improvements due to a lack of market pressure.

In contrast, Google's attorney, John Schmidtlein, argued that Google faces significant competition from other major platforms, which constrains its pricing and stimulates continual innovation in its products. He emphasised that Google's market share in US digital advertising has been declining.

Additionally, the trial shed light on Google's practices regarding default search settings on smartphones and browsers, backed by annual payments totalling $26.3 billion in 2021, aimed at maintaining its market dominance. The court also addressed allegations that Google destroyed internal documents relevant to the case, with Judge Mehta questioning Google's document retention policies.

A lawyer for Google, Colette Connor, defended its data preservation practices, calling them reasonable, and urged the court not to sanction the company.

Judge Mehta, who intensely questioned both sides, did not specify when he would issue his decision but mentioned that it could lead to changes in Google's business practices depending on the outcome.

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