Google monopoly ruling: where the tech giant goes from here

A US judge has ruled that Google operates as a monopoly, reinforcing its market dominance, particularly in the search engine sector where it holds a 90% market share. This ruling aligns US regulatory approaches with those of the European Commission regarding major tech companies. Google generates approximately 80% of its revenue from advertising, amounting to $146 billion in 2021, with search advertising being a significant contributor. The company invests heavily to maintain its status as the default search engine on various platforms, spending over $26 billion annually. Despite the high demand for search advertising, the actual return on investment for businesses remains uncertain. Competitor Microsoft’s Bing is the only notable rival, but it struggles to gain market share due to Google's established dominance. The judge has yet to determine how Google should address its monopoly status, with suggestions including separating its advertising and search operations or sharing data to enhance competition. However, previous regulatory attempts have shown mixed results, raising concerns about the potential impact on consumer experience. Google plans to appeal the ruling, emphasizing its commitment to providing a high-quality search service.

- A US judge has declared Google a monopoly, aligning with European regulatory views.

- Google earns 80% of its revenue from advertising, primarily through its search engine.

- Microsoft’s Bing is the only significant competitor to Google in the search engine market.

- Potential remedies for Google's monopoly include splitting its advertising and search functions or sharing data.

- Previous regulatory efforts have had limited success in increasing competition without harming consumer experience.