Technology
Mint Primer: What’s next for Google Search amid global scrutiny?
Summary
- In August, a US federal judge ruled that Google was in violation of antitrust laws with Search. The US Department of Justice has proposed that Google sell Chrome, the world’s most popular browser. This can change the way you access the internet. Mint explains why.
What is the verdict on Google Search?
In August this year, Google was ruled as stifling competition in the search engines business through exclusivity deals, as well as owning the Android operating system and the Chrome web browser. In April next year, Google and the US Department of Justice will present what they believe are ideal ‘remedies’ to take, while in August, a final ruling will be issued. Regulators in the US have proposed forcing Google to stop signing deals with the likes of Apple and Mozilla, while Google’s government affairs president, Kent Walker, labelled the approach “a radical interventionist agenda." A final call hasn’t been taken yet.
Is India on-board with US lawmakers on this?
In January 2022, a group of news publishers in India filed a complaint alleging unfair ad revenue shares from Search. India’s Competition Commission (CCI) has since conducted a prolonged investigation, and the final findings along with legal verdicts on it are imminent. That said, the CCI has fined Google nearly $270 million already for its mobile applications marketplace and operating system dominance in India, suggesting an approach that is largely in line with the US and the European Union. All of these verdicts remain sub-judice, with Google having appealed them in India too.
Also read: Google should be forced to sell Chrome browser, Justice Department says
How important are Search and Chrome for Google?
Search is Google’s core business in terms of revenue. As of the September quarter, Search and related products earned the company $49.4 billion, accounting for most of its revenue. Chrome, meanwhile, remains the world’s biggest web browser, with a market share of 68% as of September. For Google, protecting these two businesses is key.
What happens if Search is not default?
Google’s proposal was to restructure its agreements with Apple, Samsung and others, so that Search is not the only option. This means users may be able to choose any search engine. However, experts say Search is far ahead of its competitors qualitatively, making it difficult for others to keep pace. However, the advent of generative AI and social media for hyperlocal discovery could eat into traditional search engines, meaning user queries could see significant variance in what they see as responses.
Does India have search competitors, too?
Three years ago, Gujarat-based Qmamu presented itself as a ‘made in India’ search engine rivalling Google but is yet to take off in a big way. Experts say search engines have not come up in India due to Google’s dominance—it has a 98% market share. They say this could be concerning for Google, as Android, which is also owned by Google, powers over 95% of smartphones in India. While the advent of generative AI does pose a threat to this status quo, Google, for now, does not have a like-for-like competitor in India.
Also read: US reportedly planning to force Google to sell Chrome, separate Android from other products
