Source: Sharecast
The Department of Justice had initially demanded that Google sell Chrome - however, Tuesday's ruling means Alphabet will be able to keep the browser, but will be blocked from having exclusive contracts and will have to share search data with rivals.
In 2024, District Judge Amit Mehta ruled that Google had used unfair methods to establish a monopoly over the online search market, but said a complete sell-off of Chrome was "a poor fit for this case".
Mehta's decision on Tuesday follows a years-long court battle over Google's dominance in the online search market, with the case centring around Google's position as the default search engine on a range of its own products, such as Android and Chrome, as well as others made by the likes of Apple.
Google stated that it saw the ruling as a win, and stated that the judge's decision recognised how much the industry has changed through the advent of AI, which it said was giving people "so many more ways to find information", underlining what it has argued since the case was first filed in 2020 - "competition is intense and people can easily choose the services they want".
"This outcome removes a significant legal overhang and signals that the court is willing to pursue pragmatic remedies rather than scorched-earth tactics. That’s a message the rest of Big Tech, many of whom face their own antitrust battles, will be watching closely," said Hargreaves Lansdown.
"For Alphabet, the timing couldn't be better. The market had prematurely written the company off in the AI race, a view that looked short-sighted. With cutting-edge models and unmatched distribution, Alphabet is poised to dominate if it can execute well. Questions remain about the future of search, but with this legal cloud lifted, investors can refocus on growth and innovation."
As of 0820 BST, Alphabet shares were up 5.60% in pre-market hours at $233.87 each.
Reporting by Iain Gilbert at Sharecast.com
