Google’s (GOOG, GOOGL) dominance in search may face its most serious threat yet as U.S. District Judge Amit Mehta considers whether to dismantle parts of the company’s core business in an ongoing antitrust case.
The case has entered the remedies phase, where Mehta heard final arguments from both Google and the Department of Justice (DOJ). The DOJ is pushing for sweeping changes, while Google is fighting to preserve its business model.
Previously, Mehta ruled that Google violated antitrust laws by maintaining monopolies in the markets for general search and general search text ads—ads typically displayed at the top of search results.
Now, the DOJ is urging Mehta to force Google to sell its Chrome browser, share its search data with competitors, and end exclusive agreements that make it the default search engine on most mobile devices and browsers.
Google, which plans to appeal the ruling, says the legal battle could drag on for years. The company argues the proposed remedies go too far and would primarily benefit rivals like Microsoft’s Bing while hurting consumers by increasing costs for device makers.
One key relationship under scrutiny is Google’s $20 billion-per-year deal with Apple (AAPL), which makes Google the default search engine in Safari. That partnership plays a major role in Apple’s Services revenue, which totaled $96.1 billion in 2024. Losing that revenue would deliver a noticeable blow to Apple’s bottom line.
In a separate antitrust case, Google also faces pressure over its advertising tech business. In April, U.S. District Judge Leonie Brinkema found the company abused monopoly power in publisher ad servers and ad exchanges but ruled against the DOJ on its third claim concerning advertising networks.
If Mehta sides with the DOJ in the search case, Google may be forced to radically alter its business. Chrome is the world’s most-used browser, largely due to its default status on Android devices, which dominate the global smartphone market. Losing Chrome or key exclusivity deals could significantly reduce Google’s reach.
At the same time, the rise of generative AI is transforming the search landscape. Apple executive Eddy Cue recently noted a decline in Safari search queries in April, attributing the drop to users shifting toward AI tools like ChatGPT. Google, however, disputes this, claiming continued growth across platforms, including iOS.
Google has also launched its own AI-powered features, including “AI Overviews” in search results and “AI Mode,” a chatbot-style interface similar to ChatGPT.
Judge Mehta is expected to issue a decision on remedies in August. Meanwhile, Google must also brace for another round of remedies hearings in its advertising antitrust case.
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