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The U.S. Justice Department has just filed its second antitrust lawsuit against Google, signaling that the government is continuing to pursue cases against tech firms. This new lawsuit, which aims to make Google divest parts of its online advertising business, is the first against the company filed under the Biden Administration.
The Department’s previous lawsuit, filed in October 2020 under the Trump Administration, accused Google of using its alleged monopoly power to eliminate competition for internet search through exclusionary agreements. That case is expected to go to trial in September.
Google also faces additional antitrust lawsuits from several state attorneys general, including one focused on its advertising business led by Texas Attorney General Ken Paxton. California, Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee, and Virginia joined the DOJ in this lawsuit. Google’s advertising business has drawn criticism for its market positioning, as it operates on multiple sides of the market, giving it unique insight and potential leverage. Google denies that it dominates the online advertising market and points to the market share of competitors like Facebook.
Google’s response. Google responded by saying “Government shouldn’t pick winners and losers in a competitive industry.” In their post, they continued “Today’s lawsuit from the Department of Justice attempts to pick winners and losers in the highly competitive advertising technology sector. It largely duplicates an unfounded lawsuit by the Texas Attorney General, much of which was recently dismissed by a federal court. DOJ is doubling down on a flawed argument that would slow innovation, raise
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