Google Offers to Modify Apple Search Deal While Fighting to Retain Chrome

Earlier this year, the U.S. Department of Justice (DOJ) emerged victorious in its antitrust case against Google, accusing the tech giant of unfairly dominating the online search market. In response, the DOJ has called for significant changes to Google’s operations, which could have a profound effect on the company’s core business. Among the proposed measures are the sale of its Chrome browser, the syndication of search results, and the ending of exclusive deals with major companies like Apple. In a bold move, the DOJ even suggested the possibility of forcing Google to sell its Android platform.

Google’s Response: A More Limited Approach

In contrast to the DOJ’s sweeping demands, Google has put forward a more modest counterproposal. Rather than agreeing to drastic changes, the company suggests focusing on banning exclusive default search deals, but only for a limited period of three years. Submitted to U.S. District Judge Amit Mehta, this proposal seeks to balance the need for reform while preventing measures that could stifle innovation, particularly in areas like artificial intelligence (AI) that are shaping the future of search.

Google’s Proposal: Key Reforms to Distribution Agreements

The core of Google’s proposal is a shift in how its search engine is preloaded on devices. The company would replace exclusive agreements with Android manufacturers with non-exclusive ones, allowing rivals a chance to install their search engines as defaults. This would mark a significant change from the current status quo, where most devices come pre-loaded with Google Search. Google also proposes separating the Play Store from its search and Chrome services for Android phone manufacturers, giving more freedom to choose alternative options.

Additionally, Google suggests that browser developers, such as Mozilla, should have the ability to reconsider whether Google remains the default search engine annually. This would give consumers and companies the flexibility to explore other search providers.

Addressing AI and Innovation Concerns

Google’s proposal also addresses concerns about its control over AI-powered search tools. The company has pledged not to require manufacturers to install its Gemini Assistant app in order to access other Google services, which could restrict competition. Google argues that the fast pace of innovation in the search and AI sectors means prolonged regulatory restrictions are unnecessary and could hamper progress. The company points to the rapid evolution of the industry, suggesting that three years is sufficient to correct any imbalances in the market.

The DOJ’s Call for Longer-Term Reforms

While Google is advocating for a three-year restriction period, the DOJ has pushed for a decade-long span of restrictions to ensure lasting change. The DOJ argues that a longer period is necessary to restore competitive balance in the online search market and ensure that rivals have an equal opportunity to challenge Google’s dominance.

Implications for Google’s Business

If the court accepts Google’s proposal, the company would avoid some of the more extreme changes proposed by the DOJ, such as selling Chrome or Android or sharing proprietary data with competitors. This would allow Google to maintain its business model while addressing the core concerns raised during the trial. However, the DOJ’s broader approach seeks to dismantle what it sees as Google’s unfair monopoly, potentially allowing rivals to access key tools and data that Google currently controls.

Criticism from Rivals: DuckDuckGo Weighs In

Not all companies agree with Google’s proposal. DuckDuckGo, a search engine focused on user privacy, has criticized the counterproposal as inadequate. A spokesperson for the company, Kamyl Bazbaz, stated that Google’s plan would merely preserve the status quo and fail to make meaningful changes. Rivals like DuckDuckGo argue that Google’s dominance is rooted in exclusive deals and pre-installed search engines that prevent fair competition.

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