In response to a judge’s ruling that Google violated antitrust laws, the U.S. Justice Department is reportedly deliberating on compelling parent company Alphabet to divest at least one of its units. Among the options under consideration, as reported by Bloomberg, are Google’s esteemed operating system, Android, and the revenue-generating powerhouse, Google Ads.
While the idea of Chrome, Google’s web browser, being divested appears improbable due to its modest profitability, the discussions around potentially dismantling key components of Google underscore the gravity of the antitrust concerns.
In the event of a breakup, the repercussions would reverberate across the digital landscape, impacting search marketers and raising pivotal questions about the future of SEO and advertising strategies. Although the likelihood of such a drastic measure mirrors Microsoft’s evasion of a similar fate decades ago, the specter of a Google breakup looms as a distinct possibility.
In addition to contemplating more severe measures, the U.S. authorities are exploring less stringent alternatives, including restricting Google from entering into default search agreements and enforcing greater data sharing with competitors. Moreover, efforts to curtail Google’s purported advantage in artificial intelligence products are also being considered.
Curiously absent from the discourse is YouTube, an Alphabet subsidiary that amassed a substantial $31.51 billion in advertising revenue in 2023. The oversight of YouTube in the current deliberations raises questions about the breadth and scope of the potential regulatory actions against Alphabet’s expansive digital empire.
