Google (Alphabet Inc.) has secured a major legal victory after a U.S. judge ruled the tech giant will not be forced to sell its Chrome browser or Android operating system in an antitrust case. Instead, the company must share data with competitors to foster greater competition in online search and digital advertising, Reuters news report said.
The ruling, issued Tuesday by U.S. District Judge Amit Mehta, is seen as a rare win for Big Tech amid heightened regulatory scrutiny. Alphabet’s stock surged 7.2 percent in extended trading to $226.40, while Apple —which benefits from billions in annual search-revenue payments from Google — rose 3 percent to $236.78.
Judge Rejects Breakup of Chrome and Android
The Justice Department and regulators had sought remedies that could have forced Google to divest or separate its most important platforms — Chrome and Android. Both are central to Google’s dominance in digital advertising, which generates the bulk of its revenue.
Judge Mehta, however, declined to order such drastic measures, noting the rapid growth of artificial intelligence (AI) rivals like OpenAI’s ChatGPT and other emerging AI search engines. He emphasized the court must act with “humility” when predicting how technology markets will evolve.
Key Settlement Requirements
Although Google avoided structural breakup, the court mandated significant changes:
Data Sharing with Competitors: Google must share certain datasets with rivals to strengthen competition in online advertising and search.
No Exclusive Contracts: Google is barred from entering agreements that prevent device makers and carriers from preloading rival search apps.
Revenue-Sharing Payments to Apple & Device Makers Continue: Google can maintain its $20 billion annual payments to Apple and other device makers for making Google the default search engine.
These remedies are designed to open the market while avoiding disruptions for users and partners.
Implications for AI and Competition
The decision reflects the growing impact of AI-powered search and chatbots, which are already eroding Google’s dominance in traditional internet search. Judge Mehta noted that AI companies are “better placed to compete with Google than any search engine developer has been in decades.”
If AI rivals gain access to Google’s mandated data-sharing, they could accelerate the development of AI search engines and AI-powered browsers, potentially reshaping the competitive landscape.
Google’s Response and Appeal Plans
In a blog post, Google expressed concern that forced data sharing could compromise user privacy and confirmed it is reviewing the ruling closely. The company also indicated plans to appeal, a process that could take years and potentially reach the U.S. Supreme Court.
Broader Antitrust Crackdown on Big Tech
This ruling is one of several high-profile cases against Google and other major tech companies:
Google is also fighting a Justice Department lawsuit over its dominance in online advertising technology.
The company recently lost a case to Epic Games, requiring changes to its Google Play Store.
Regulators are pursuing separate cases against Meta (META), Amazon (AMZN), and Apple (AAPL) as part of a bipartisan crackdown on Big Tech.
Market Reaction
Investors welcomed the decision, as the avoidance of a forced breakup preserved Google’s two most valuable assets — Chrome and Android. Analysts, however, cautioned that data-sharing mandates could create long-term risks by enabling rivals and AI startups to build stronger alternatives.
TelecomLead.com News Desk
