Apple Intervenes in DOJ Antitrust Suit Against Google Over Search Revenue
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Apple has asked to participate in the US Department of Justice's antitrust trial against Google, arguing that it cannot rely on Google to adequately defend revenue-sharing agreements that generate billions of dollars annually for Apple, as reported by Reuters.
The DOJ lawsuit, a landmark case potentially reshaping online search, alleges that Google monopolizes online search. Google has proposed changes to its default agreements, but not to its revenue-sharing arrangement with Apple, whereby Google pays Apple for making Google Search the default on Safari. Apple reportedly received an estimated $20 billion from this agreement in 2022 alone.
In court filings, Apple's lawyers stated, "Google can no longer adequately represent Apple’s interests: Google must now defend against a broad effort to break up its business units," emphasizing the significant financial stake Apple has in the outcome of the trial.
Apple, which has no plans to develop its own search engine, argues that the DOJ's proposed remedies, including potential divestitures of Chrome and Android, could jeopardize its revenue stream from the Google agreement.
The DOJ's case against Google seeks to increase competition in online search by forcing the company to take significant steps, including potentially selling its Chrome browser and Android operating system. Google has proposed less drastic measures, including loosening default search agreements with browser developers, device manufacturers, and wireless carriers.
Google declined to comment on Apple's intervention. The trial is scheduled to begin in April.