Google faces antitrust lawsuits ruling against illegal monopoly in both search and ad tech software.
From Nasdaq: 2025-04-19 03:48:00
In 2020, the Justice Department sued Google, accusing them of operating an illegal monopoly in online search. In 2023, another lawsuit was filed, this time for adtech software. Federal judges ruled against Alphabet in both cases and will impose remedial measures to curb its monopoly power.
A federal judge ruled in August 2024 that Google has an illegal monopoly in internet search. Google allegedly entered into exclusionary agreements, securing default search engine status on billions of devices. Judge Mehta will rule on remedies in August 2025, with Google planning to appeal any unfavorable decision.
In April 2025, a federal judge ruled that Google has an illegal monopoly in ad tech software. Google’s adtech products compete directly with publishers, leading to antitrust concerns. Judge Brinkema sided with the Justice Department, and potential remedies could include behavioral changes or a forced breakup of Google’s adtech ecosystem.
Although Alphabet faces risks due to antitrust lawsuits, historical data suggests a breakup is unlikely. Wall Street estimates a 12% annual increase in earnings through 2026. While uncertainties remain, the current valuation appears reasonable, with potential for growth. Investors comfortable with risk may consider buying a small position in Alphabet.
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Read more at Nasdaq: Alphabet (Google) Stock Investors Just Got More Bad News From a Federal Judge