All the major tech giants are about to feel scary about this news. No monopoly business again. According to The Washington Post, the justice department is preparing an antitrust investigation against Google. The New York Times, The Wall Street Journal also confirmed the story.
Alongside Department of Justice, FTC (Federal Trade Commission) works to bring federal antitrust cases against any business. Google has faced multiple antitrust fines in the EU but never was in US. So definitely it would mean a lot for Google. Although, Google appealed for that fine in EU recently.
What is antitrust and how this investigation works?
In 1890, In 1890, Congress passed the Sherman Antitrust Act which prohibits activities that restrict interstate commerce and competition in the marketplace. The Sherman Act was amended by the Clayton Act in 1914 that expanded the definitions of anti-competitive activity and in the same year FTC (Federal Trade Commission) established to break the monopolies.
Is this the first time in tech industry?
No, it’s not. From 1992 to 2001, the Department of Justice investigated whether Microsoft was abusing its market power with the Windows operating system to push consumers to use its Internet Explorer web browser. But without breaking up, Microsoft settled with the Department of Justice.
Most recently, on 2013 Federal Trade Commission investigated Google but they found nothing in that time and the investigation closed empty handed. In February 2019, Federal Trade Commission started a special task force to monitor tech industry.
So we can’t do anything rather than waiting to see the big headlines very soon and let’s see how FDC, DOJ and Google start and operate this battle. But whatever comes with it, we hope that would be better for consumer and the industry.