The DOJ, along with eight states including New York and California, are accusing the Alphabet-owned firm of hampering competition by illegally taking advantage of its alleged monopoly in digital advertising. The suit seeks to stop Google’s anti-competitive actions, loosen its hold on the market and create more digital advertising competition. (The Logic)
Talking point: This is the first lawsuit against Google filed under Joe Biden’s administration, whose antitrust officials have been clear about wanting to rein in Big Tech firms. It’s the second major lawsuit the Justice Department has filed against Google in three years. In late 2020, the department claimed Google made exclusionary agreements with device makers, wireless carriers and browser developers to ensure its position as a default search engine. In response to Tuesday’s lawsuit, a Google spokesperson said in a statement to CNBC that the “DOJ is doubling down on a flawed argument that would slow innovation, raise advertising fees and make it harder for thousands of small businesses and publishers to grow.”