3 ms·
It's not illegal to be a monopoly - especially by providing a superior product or service. The case hinges on the no-compete, tying, and default placement agre
by xenadu02 6y ago
It's not illegal to be a monopoly - especially by providing a superior product or service.
The case hinges on the no-compete, tying, and default placement agreements. If Google didn't pay anyone to be the default search engine, didn't require Android Phone makers to pre-install Google apps and make Google the default search in order to get access to Google services and the store, etc then there's no problem.
The complaint also says that one of the reasons Google's results are better is the network and scale effects that come from owning 80-90% of search. A competitor has a very difficult time no matter how good their algorithm because you need insights you can only get when people use your service at scale. I don't personally know if that is true but that's part of the complaint.
The proposed antitrust violation is likely the combination: using their dominant position to outspend any other players when paying for default placement to ensure they're the only one with the scale to have the best search results. That forms a self-reinforcing cycle: users who do choose pick you because you have the best results and you use that fact to fund no-compete and default placement agreements to ensure you have unmatched scale which further reinforces your ability to deliver the best results.
Again: I don't know if this is true or a valid argument, but it seems to be what the complaint claims.