During the ongoing monopoly trial against Google, CEO Sundar Pichai testified that agreements that make Google’s search engine the default on smartphones and browsers can be “very valuable.” Pichai acknowledged that these deals, which are worth billions of dollars annually and involve technology groups, smartphone makers, and mobile telecoms companies, can make a significant difference when done correctly. He also stated that both Google and users can benefit from such arrangements. The US government has accused Google of illegally maintaining a monopoly through these agreements, but the company has denied any wrongdoing.
Pichai’s testimony marks a crucial moment in the trial, which has been going on for seven weeks. Microsoft CEO Satya Nadella had previously given testimony, with Microsoft serving as the most prominent tech company challenging Google’s dominance in internet search. Nadella argued that Google’s default contracts undermine the idea that users have a choice in search options. Prosecutors further claimed that Google used the same practices it criticized when Microsoft employed them in the early 2000s. The Department of Justice presented evidence of a letter from Google threatening legal action against Microsoft for making its search engine the default option in its Internet Explorer browser, arguing that it deprived users of choice.
The trial has drawn comparisons to the antitrust case against Microsoft in the 1990s, where the company faced accusations of stifling competition with its Windows dominance. Although a judge initially ordered the breakup of Microsoft, the ruling was ultimately overturned on appeal. The outcome of the current case is yet to be determined, but it has significant implications for the future of competition in the tech industry.