Background of the Case

The U.S. Department of Justice (DOJ) has reiterated its demand for Google to divest its popular web browser, Chrome, as part of an ongoing antitrust lawsuit. This move, first suggested under the Biden administration last year, remains on the table even under the second Trump administration.

Alongside the push for Chrome’s sale, the DOJ has notably backed away from initially proposing that Google divest all its artificial intelligence (AI) investments, which encompass significant financial commitments to companies like Anthropic.

Breadth of the DOJ’s Antitrust Actions

The DOJ has stated, “Google’s illegal conduct has created an economic goliath, one that wreaks havoc over the marketplace to ensure that — no matter what occurs — Google always wins,” highlighting the department’s concerns about Google’s market dominance. The filing was signed by Omeed Assefi, the acting attorney general for antitrust.

The DOJ’s proposal includes core recommendations from its initial filing, focusing on:

• The divestiture of Chrome
• A prohibition against Google making search-related payments to distribution partners

Changes in the Approach to AI Investments

In a notable development, the DOJ has shifted its stance regarding Google’s AI investments. Instead of mandating their divestiture, the department now advocates for prior notification of future investments, indicating a more lenient approach. Furthermore, the decision concerning whether Google should divest Android will be left to the courts, based on competitiveness in the market at that time.

Legal Proceedings Ahead

This development follows a series of antitrust lawsuits initiated by the DOJ and 38 state attorneys general, which recently led to Judge Amit P. Mehta’s ruling that Google had illegally maintained its monopoly in online search services. Although Google intends to appeal Mehta’s decision, the tech giant has also proposed alternatives it believes would satisfy the court’s concerns by enhancing flexibility for partners.

Google’s Response

A spokesperson for Google expressed concerns over the DOJ’s proposals, stating that they “continue to go miles beyond the Court’s decision and would harm America’s consumers, economy and national security.”

Judge Mehta is scheduled to hear arguments from both parties in April, which will be a crucial point in the ongoing antitrust battle.