"Shares of Google parent Alphabet ( GOOGL) climbed late Tuesday after a federal judge issued a ruling on remedies in the U.S. government's antitrust lawsuit involving the tech giant's internet search business. Google stock had been expected to fall after the ruling, but rose instead. Meanwhile, Apple ( AAPL) stock also rose. Judge Amit Mehta of the U.S. District Court of the District of Columbia ruled that Google can keep its Chrome browser."
"However, the internet giant will be barred from exclusive search contracts and must share search data with competitors. However, Mehta didn't bar Google from making payments to third parties for default browser placement. In a 2024 ruling, Mehta declared Google a monopolist in internet search. Mehta ruled that its parent Alphabet illegally maintained a monopoly over online search services and prevented rivals from developing their own products."
"The Department of Justice had asked Mehta to order Alphabet to sell its Chrome browser. Mehta also had the option of ending Google's right to be the exclusive search engine on Apple's Safari browser, or forcing Google to share its search data with rivals such as OpenAI, Perplexity and others. Alphabet pays Apple over $20 billion annually to make Google the default search engine on iPhones."
Judge Amit Mehta ruled that Google can keep its Chrome browser but must be barred from exclusive search contracts and must share search data with competitors. Mehta did not prohibit Google from paying third parties for default browser placement. A 2024 ruling found Google a monopolist in internet search for illegally maintaining a monopoly and impeding rival product development. The Department of Justice had sought an order forcing Alphabet to sell Chrome and options included ending Google's exclusivity on Safari or forcing data sharing. Alphabet pays Apple over $20 billion annually to make Google the iPhone default. Google plans to appeal and shares rose over 6% in extended trading; Apple shares also gained.
Read at Investor's Business Daily
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