Federal Judge Delivers a Major Blow to Google

Google suffered a major legal defeat in federal court on Thursday when a federal judge found that the company had an illegal monopoly on digital advertising, reports the Wall Street Journal. Judge Leonie Brinkema of the US District Court for the Eastern District of Virginia said the next step will be to determine what fixes need to be made. However, the company could appeal and possibly delay any remedies for years. The case brought by the Justice Department in 2023 alleged that Google "rigged the rules of auctions" for online advertising, which hurt not only advertisers but consumers, per the Washington Post. The company argued that it dominated the industry because it offers the best product, not because of a monopoly, but the judge disagreed.

"In addition to depriving rivals of the ability to compete, this exclusionary conduct substantially harmed Google's publisher customers, the competitive process, and, ultimately, consumers of information on the open web," wrote Brinkema, per the New York Times. The stakes are enormous: As the paper notes, the case adds "to legal troubles that could reshape the $1.88 trillion company and alter its power over the internet." As a result of Thursday's ruling, the company might eventually have to sell all or part of its lucrative advertising tech division, notes the Post. (More Google stories.)