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Tech Policy Podcast

#353: The Google Search Antitrust Trial

Tech Policy Podcast

TechFreedom

Technology

4.845 Ratings

🗓️ 11 September 2023

⏱️ 63 minutes

🧾️ Download transcript

Summary

Geoff Manne, president and founder of the International Center for Law & Economics, and host Corbin Barthold, internet policy counsel at TechFreedom, discuss the upcoming Google search antitrust trial. Correction: Larry Page’s negotiation to sell PageRank, mentioned by Corbin at 26:10, was with Excite, not Lycos.

Transcript

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0:00.0

I'm On September 12, in a federal courtroom in Washington, D.C., the biggest antitrust trial in a quarter century will kick off.

0:36.0

I'm talking, of course, about the Google search case.

0:40.0

Here's what's happening. The Department of Justice is challenging two sets of agreements.

0:46.6

First, browser agreements. Google pays to be the default search engine on browser such as

0:53.5

Apple's Safari and Mozilla's Firefox.

0:56.0

Second up, Android agreements.

1:00.0

Google makes the Android smartphone operating system.

1:05.0

Google gives device makers and phone carriers options.

1:08.0

If they wish, they can use Android for free,

1:12.1

they can preload Google apps,

1:14.4

and they can share revenue on Google searches.

1:17.6

These options come with various conditions,

1:20.6

such as that Google apps be set as a device's initial defaults.

1:25.6

According to the DOJ,

1:27.3

these agreements are exclusionary practices in violation

1:30.8

of Section 2 of the Sherman Act. Although they're regularly renewed and adjusted,

1:38.2

these agreements go way back. We're talking decades. This is interesting. After all, it's not against the law in the United States to be a monopolist.

1:50.0

It's not against the law to become a monopolist by providing the best product around.

1:55.0

Yet according to the DOJ, these agreements, which took shape before anyone would have considered Google a

2:02.0

monopolist, are illegal. There was a remarkable exchange during an earlier hearing in which

2:09.8

counsel for the U.S. said that, at some point, he didn't clarify when, Google should have decided that it's a monopolist, declared as much to its business partners, and terminated the browser agreements.

2:25.3

It should have, and I quote, written a letter to Apple and said, look, we find ourselves in a position where we're a monopolist now.

...

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