Google Has A Counteroffer To The Government Trying To Break It Up

In a bold counter to the U.S. Department of Justice (DOJ)’s push to break up its core operations, Google has proposed a set of remedies focusing on unbundling its Android apps. This move aims to address accusations of monopolistic practices in the search engine market while avoiding divestitures of major assets like Chrome, Android, or Google Play.

The DOJ’s initial recommendations included forcing Google to sell Chrome and potentially Android to restore market competition. However, Google’s proposal, submitted late Friday, pivots to revising its financial arrangements with partners like Apple and Mozilla for prioritized placement, its licensing agreements with Android device manufacturers, and its contracts with wireless carriers. Notably absent from Google’s counteroffer is a response to the DOJ’s suggestion that Google share its valuable search data with competitors.

Google’s regulatory VP, Lee-Anne Mulholland, emphasized on the company blog that the ruling centered on “search distribution contracts,” and the proposed remedies align with this scope. Over the next three years, Google’s plan would prevent the bundling of licenses for Chrome, Google Search, and the Google Play app store with preinstallation requirements for other apps, such as Chrome, Google Assistant, or its Gemini AI assistant.

The proposal also maintains Google’s ability to pay for default search placement in browsers but introduces conditions to allow multiple deals across platforms and periodic renegotiations at least once a year.

While Google intends to appeal Judge Amit Mehta’s ruling that the company has acted as a monopolist, it is moving forward with plans to submit a revised proposal by March 7. A two-week trial on the matter is set for April, which will determine whether Google’s measures are sufficient to address the DOJ’s concerns or if stricter actions, like breaking up its core products, will be enforced.