Skip to content

Canada's Business and Tech Newsroom

  • Professional Subscription
  • Partnerships & Advertising
  • Licensing & Syndication
Log In Subscribe
Welcome,
  • My Account
  • Log Out
  • Business
  • Tech
  • National
  • The Big Read
  • Briefings
  • Commentary
Search
Log In Subscribe
Welcome,
  • My Account
  • Log Out
News

The U.S. Justice Department and 11 states filed suit against Google on Tuesday. Here’s what you need to know

By Murad Hemmadi
The Google office in New York City in June 2019. Photo: Drew Angerer/Getty Images
Oct 20, 2020
A A
A Small A Medium A Large
Share

Share

This article is a preview of The Logic’s Daily Briefing newsletter, sent every weekday. Sign up for a free trial.

The U.S. Justice Department and 11 states filed suit against Google on Tuesday, the opening legal salvo in what looks set to be a barrage of antitrust actions against the firm and its tech-giant peers. Here’s what you need to know.

The opening two and a half sentences: “Two decades ago, Google became the darling of Silicon Valley as a scrappy startup with an innovative way to search the emerging internet. That Google is long gone. The Google of today is a monopoly gatekeeper for the internet.”

The claim: The DoJ and the states allege Google uses “exclusionary agreements” worth billions of dollars annually with device makers like Apple, Samsung, LG and Motorola, as well as wireless carriers and browser developers, to make itself the default search engine and, in some cases, require the use of its apps. It monetizes that position by selling advertising, to the tune of US$40 billion annually in the U.S. The deals, plus the popularity of Google’s own properties like its Chrome browser, add up to about 80 per cent of the market for U.S. search queries, the suit claims; overall, the company has a 90 per cent share. The company has “foreclosed competition for internet search,” the suit states. “General search engine competitors are denied vital distribution, scale, and product recognition—ensuring they have no real chance to challenge Google.” It says the Alphabet subsidiary’s distribution control is bad for innovation, citing alternative models like DuckDuckGo, the privacy-focused web crawler for which OMERS Ventures led a US$10-million fundraising round in August 2018.

Google blogs back: “Today’s lawsuit by the Department of Justice is deeply flawed” and “would do nothing to help consumers” wrote Kent Walker, senior vice-president of global affairs, in a Tuesday blog post. Google acknowledged that it pays to promote its services, likening itself to a cereal brand incentivizing supermarkets to stock its boxes in prime shelf space. But it said internet browsers pick Google for search voluntarily, not by coercion.

What the market said: Meh. GOOG closed up 1.39 per cent on the Nasdaq.

What’s next for this suit: The blog post suggests Google intends to contest the DoJ and co.’s claims. The plaintiffs are calling for an imminent court order, claiming that even as the company was under investigation for anti-competitive acts, it signed new distribution agreements that are “even more exclusionary” (emphasis theirs).

What’s next in antitrust: State attorneys general are reportedly preparing a separate ad-related suit against Google. The U.S. Federal Trade Commission is investigating previously undisclosed acquisitions by Alphabet, Amazon, Apple, Facebook and Microsoft; economists and policymakers have argued tech giants do these deals to eliminate nascent competitors. Each of those firms is also the subject of antitrust complaints or investigations in the U.S., EU and/or Canada over some part of their business.

#antitrust #big tech #Google

Sponsored Content

The road to risk-smart regulation

By Deborah Aarts

Why cybersecurity needs to match pace with AI

By Jessica Aftimus Rosa

How to shift your workforce from AI experimentation to adoption

By Jessica Aftimus Rosa
Paid promotional content

Loading...

Thanks for sharing!

You have shared 5 articles this month and reached the maximum amount of shares available.

Close
This account has reached its share limit.

If you would like to purchase a sharing license please contact The Logic support at [email protected].

Close
Want to share this article?

Upgrade to all-access now

Close
Gift the full article!

You have gifted 0 article(s) this month and have 5 remaining.

Copy link and gift
Copy Link
Email to a friend
Send Email
Gift on Social Media

Recipients will be able to read the full text of the article after submitting their email address. They will not have access to other articles or subscriber benefits.

Photo: Drew Angerer/Getty Images

Most Popular This Week

An image of Prime Minister Mark Carney, standing in front of a microphone and speaking. He is wearing a blue suit and tie, while looking away from the camera. He is standing in front of a dark background. The Cohere logo is visible in the background.
News

Conservatives challenge Ottawa to justify its $1.6B Cohere investment

By Catherine McIntyre
A logo that reads AI in blue lettering against a light yellow background.
News

BDC launches programs to test Canadian AI tools in small businesses

By Catherine McIntyre
A man wearing a headset microphone sits on a stage. He is speaking and gesturing with his hands. The background is dark blue.
News

Ottawa will invest up to $1.6B in Cohere as firm’s valuation hits $35.7B

By Catherine McIntyre
Prime Minister Mark Carney and the rest of the Liberal front bench stand applauding Finance Minister François-Philippe Champagne in the House of Commons. Champagne is in the middle of the frame, with his hands on a desk lectern.
Special Report

What business wants from the 2026 federal budget

By David Reevely, Joanna Smith, Anita Balakrishnan, Claire Brownell, Chaimae Chouiekh, Murad Hemmadi and Meghan Potkins

In-depth, agenda-setting reporting

Great journalism delivered straight to your inbox.

A side shot of Annie Andrews passing a cluster of supporters with a hand outstretched and a joyful look on her face.
News

What the Democrats’ midterm sweep means for Canadian business

By Joanna Smith

Briefing

Cenovus Energy joins Canada’s exclusive million-barrel club

By Meghan Potkins   |   Nov 4, 2026 | 3:47 PM ET

Toronto chatbot firm Ada to merge with U.S. company Dialpad

By Catherine McIntyre   |   Nov 4, 2026 | 3:41 PM ET

Fairfax stock rises on earnings beat as it prepares for global bank takeover

By Anita Balakrishnan   |   Nov 4, 2026 | 3:19 PM ET

Best business newsletter in Canada

Get up to speed in minutes with insights and analysis on the most important stories of the day, every weekday.

Exclusive events

See the bigger picture with reporters and industry experts in subscriber-exclusive events.

Membership in The Logic Council

Membership provides access to our popular Slack channel, participation in subscriber surveys and invitations to exclusive events with our journalists and special guests.

Recent Popular Stories

Analysis

Why a midterm sweep for the Democrats won’t end Canada’s trade nightmare

By Joanna Smith   |   Oct 29, 2026
Commentary

Carmichael: Canada’s Nobel-winning economist thinks Carney is on the right track

By Kevin Carmichael   |   Oct 31, 2026
A man wearing a dark suit jacket, blue button-down shirt and spotted brown-and-blue tie stands in front of a black and blue background, gesturing and speaking into a microphone.
News

Ottawa will invest up to $1.6B in Cohere as firm’s valuation hits $35.7B

By Catherine McIntyre   |   Oct 29, 2026
A man wearing a headset microphone sits on a stage. He is speaking and gesturing with his hands. The background is dark blue.
News

Bank of Canada raises key interest rate amid soaring energy costs

By Kevin Carmichael   |   Oct 28, 2026
Bank of Canada Governor Tiff Macklem in a suit, speaking and gesturing with his right hand.
Special Report

What business wants from the 2026 federal budget

By David Reevely, Joanna Smith, Anita Balakrishnan, Claire Brownell, Chaimae Chouiekh, Murad Hemmadi and Meghan Potkins   |   Oct 28, 2026
Prime Minister Mark Carney and the rest of the Liberal front bench stand applauding Finance Minister François-Philippe Champagne in the House of Commons. Champagne is in the middle of the frame, with his hands on a desk lectern.
News

The Canadian Forces were warned about safety gaps for 20 years before Wainwright disaster

By David Reevely   |   Oct 30, 2026
A side shot of a row of fully equipped soldiers making a beach landing from zodiac watercraft, rifles in hand.

Canada's most influential executives and policymakers are reading The Logic

  • CPP Investments
  • Sun Life Financial
  • C100
  • Amazon
  • Telus
  • Mastercard
  • bdc
  • Shopify
  • Rogers
  • RBC
  • General Motors
  • MaRS
  • Government of Canada
  • Uber
  • Loblaw Companies Limited
logic-logo

Canada's Business and Tech Newsroom

100% human-crafted journalism

Newsroom

  • News Tips
  • AI Policy
  • Editorial Disclosures
  • Story Pitches

Company

  • About Us
  • Terms of Service
  • Privacy Statement
  • Corporate Information

Contact

  • Contact Us
  • Advertise
  • FAQs
  • Work at The Logic

© 2026 The Logic Inc. All Rights Reserved.

Trusted by leaders

Error

Account creation failed.

Please email us at [email protected].

Create Account

[wppb-register form_name=”cozmo-registration-form-for-modal”]

I do have an account
Login
or

[wppb-login]

I don’t have an account