Q&A: Google, US government prepare for battle over market power

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The U.S. Justice Department's lawsuit against Alphabet Inc's Google kicks off what is expected to be a long legal battle over whether the online ...

The U.S. Justice Department's lawsuit against Alphabet Inc's Google kicks off what is expected to be a long legal battle over whether the online search and advertising company uses its outsized market power unfairly.

As evidence, the department points to billions of dollars that Google pays to smartphone makers such as Apple, Samsung and others to make Google's search engine the default on their devices. As a result, the government argued, smaller search engines never get the scale they need to improve their algorithms, and grow.

For example, a recent search for a"Saturday Night Live" video resulted in several choices from Google's YouTube before NBC, which produces the show. Companies such as Yelp have argued they are better than Google at helping consumers find certain services but that they often appear below a box of Google recommendations, resulting in fewer clicks.

In terms of advertising, it argues that it competes with a large array of companies, including giants like Oracle Corp and Verizon Communications Inc . And it argues that online advertising prices have steadily declined over the past decade.

 

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What do you call it when government is controlling businesses and take their hard earned money? Imperialisms!!!

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