TLDR: A federal judge has ordered specific changes to Google’s search engine operations, including granting rivals access to certain search data, but rejected the U.S. Justice Department’s more drastic proposals like a company breakup or Chrome divestiture. The ruling acknowledges the transformative impact of artificial intelligence on the search landscape, influencing the scope of the imposed limitations.
In a landmark antitrust decision delivered on September 2, 2025, U.S. District Judge Amit Mehta in Washington, D.C., mandated a significant overhaul of Google’s search engine. The ruling, detailed in a 226-page decision, aims to curb the tech giant’s monopolistic power by imposing new restraints on tactics Google has used to direct traffic to its search engine and other services. Crucially, Judge Mehta ordered Google to provide ‘qualified competitors’ with access to some of its proprietary search engine data, which has been accumulated from trillions of user queries and is vital for improving search quality.
However, the judge stopped short of acceding to the U.S. Justice Department’s (DOJ) more aggressive demands. He rejected the government’s request to break up Google’s search business and dismissed calls to force the company to sell its popular Chrome browser. Furthermore, Google was permitted to continue its multi-billion dollar agreements, reportedly exceeding $26 billion annually, that secure its search engine as the default option on various devices, including smartphones and personal computers. This includes a significant partnership with Apple, where Google pays approximately $20 billion annually to maintain its default search position on iPhones.
The influence of artificial intelligence (AI) was a pivotal factor in Judge Mehta’s decision. The ruling is expected to ‘ripple across the technological landscape at a time when the industry is being reshaped by artificial intelligence breakthroughs.’ The judge acknowledged that the emergence of conversational ‘answer engines’ like ChatGPT and Perplexity, powered by AI, presents a growing competitive threat to Google’s long-standing dominance as the internet’s primary gateway. Bloomberg editor Sarah Frier commented on the outcome, stating, ‘we should be reading this as a huge win for Google and a huge loss for the DOJ,’ highlighting how the ruling was ‘very gentle’ and a ‘bullet dodge’ for Google, contrary to expectations.
The DOJ had argued that Google’s market control is further entrenched by its integration of AI tools, such as the Gemini app on Samsung devices, which create feedback loops guiding users back into Google’s ecosystem. Court documents revealed that Google pays Samsung an ‘enormous sum’ monthly for this privilege, with the deal potentially extending until 2028. Prosecutors emphasized the need for ‘forward-looking’ remedies to ensure fair competition as generative AI becomes ‘increasingly intertwined with search.’ Conversely, Google’s legal team contended that competitors are thriving in the AI space without regulatory intervention and that forced divestitures or licensing obligations would stifle innovation. Google also maintained that AI falls outside the scope of the current case, which primarily focused on traditional search practices.
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While the judge’s decision imposes new obligations on Google regarding data access, it largely preserves the company’s core business model and its lucrative default search agreements, reflecting a judicial recognition of AI’s disruptive potential in reshaping market dynamics.
