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Google Ruling Shows Antitrust Tools Struggle to Keep Up With Tech Markets

by Team Lumida
September 4, 2025
in Markets
Reading Time: 3 mins read
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Alphabet $GOOGL Q2 2024 Results
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Key Takeaways

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  • The recent antitrust ruling against Google, which found the company guilty but imposed only light penalties, highlights a fundamental weakness in U.S. antitrust enforcement.
  • The judge was reluctant to impose harsh remedies like a breakup or ending the Apple payments, arguing the market had already been disrupted by the rise of AI competitors like OpenAI and Anthropic.
  • This outcome shows that the legal system moves much slower than the tech industry, making it difficult for judges to craft effective, forward-looking remedies without risking “crippling” collateral damage.
  • The ruling is a major victory for Google and Apple but serves as a cautionary tale for other government antitrust cases against Meta, Amazon, and Apple, suggesting a high bar for structural changes.

What Happened?
Despite a landmark ruling last year that Google illegally maintained its search monopoly, U.S. District Judge Amit Mehta on Tuesday rejected the Justice Department’s calls for severe penalties. He declined to force a spinoff of the Chrome browser or completely sever the multi-billion dollar default-search payment to Apple. Instead, he opted for a “light touch,” ordering Google to share some search data and barring exclusive deals, a remedy seen as a best-case scenario for the tech giant.

Why It Matters?
The case demonstrates that even when the government wins on the question of illegal monopolization, achieving a meaningful change to a tech giant’s business model is incredibly difficult. The judge’s reasoning—that the AI boom has already changed the competitive landscape—provides a powerful new defense for Big Tech. It suggests that rapid technological change can render an antitrust case partially obsolete by the time it reaches a conclusion, making judges unwilling to perform “business-model surgery” on a market that is already in flux.

What’s Next?
This mixed outcome raises serious questions about the effectiveness of litigation as the primary tool to rein in Big Tech. The focus may now shift back to Congress to update outdated antitrust laws, though previous efforts have stalled. The ruling sets a challenging precedent for the government’s other major cases, particularly the FTC’s suit to break up Meta, where the company is similarly arguing that the competitive landscape (e.g., TikTok) has fundamentally changed.

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Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

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Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
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