DOJ indicates it’s considering Google breakup following monopoly ruling

Microsoft again?

Uhh, do Disney!

ATT just sold all ownership of DTV. They could smell the sharks.

MS were going to be broken up at one point. https://time.com/3553242/microsoft-monopoly/

It was total BS when the limit on local broadcast ownership was released. The average consumer pays $5 per local channel on streaming and cable now. It's a damn broadcast station, it's free OTA.

Apple engages in anti competitive practices, I'm not sure they need to be broken up as much as the US needs to follow the EU and mandate third party app stores, standard connectors, and interoperability.

The popular argument I've heard is that they have a vertical integration model which has been deemed monopolistic within other industries in the past.

The common example that would have been used is the old Hollywood studio system, when studios not only owned their lots where the movies were made, but they handled all of the distribution, owned most of the theaters where the films would premiere, owned their own film formats, and locked their big-name stars into contracts which had strict non-compete agreements.

It wasn't impossible to be an independent theater owner and have the ability to choose what films you wanted to show, but it was very hard and required accepting a number of conditions:

• You will pay more for movies than the studio-owned theaters effectively do, which means your tickets need to be more expensive to pay your costs.
• You are subjected to "block booking", where you can't show only popular movies, you are also forced to buy a studio's less popular films as bundles and give them appropriate screen time or the studios won't sell.
• You also need to buy a studio's proprietary projection equipment, because it is made intentionally incompatible with the formats of other studios.

The studio system was eventually deemed monopolistic by the US Supreme Court in their ruling US v. Paramount, and that allowed independent theaters to thrive and for artists to switch to contract work without the strict non-compete agreements. But I have to say "the common example that would have been used," because the conservative-stacked Supreme Court revisited their ruling in US v. Paramount that banned the vertical integration model in Hollywood and decided it was no longer needed, so studios are once again free to resume those old practices if they wish.

So in the case of Apple, the monopoly criticism applies to their vertical integration model which draws some parallels to the old Hollywood studio system that was once deemed monopolistic:

• Apple designs and produces their own devices.
• Apple produces their own operating systems, which are exclusive to those devices.
• Apple produces their own suite of core apps, which are given preferential treatment by their operating systems.
• Apple develops their own technology standards, which are not available to third parties without additional licensing fees (e.g. the Lightning connector, up until the EU forced them to start adopting USB-C).
• Apple hosts their own app store, which is the only app distribution method allowed on their mobile platforms.
• Apple requires third-party apps to agree to their store's terms to be published on the platform, which prohibits any pricing model in which Apple does not get a cut.

For third-party app developers, it means that even if you have your own revenue model beyond Apple's involvement, you are not allowed to extend that to your iOS app without giving Apple their cut, which is why you see so many apps now just declaring that they are "for subscribers" without allowing you to subscribe in the app or giving instructions for where to subscribe. And it's not possible to publish an app on iOS without going through Apple's store and agreeing to their business model because Apple does not allow third-party app stores and heavily restricts sideloading.

Because Apple also gives preferential treatment to their own apps, it is hard to be "as good" as their own offerings, and there will always be a risk of Apple deciding to make some new category of app for a use case that third-parties currently satisfy but may get shut out of.

Nothing, really. Usually in the USA Apple escapes this type of rulings because they don't have a monopoly on anything and/or because it's argued they build the hardware for which their software run on so there isn't anti competition (which in my opinion is pure bullshit, but what can I do?)

Rizz. /s

Split AWS and Amazon retail.

Something you should keep in mind is that being a monopoly is not illegal, and it never has been. If you make a great widget and, through honest competition, corner that widget market, that's perfectly legal.

What ISN'T legal is using your market power to engage in anti-competitive behavior. It's not illegal for Apple to dominate the phone market. It is likely illegal for Apple to use its dominance of the phone market to prohibit competing app stores from being installed on their phones. That is Apple operating in two distinct businesses - a phone manufacturer and a software retailer. Apple is using its market dominance as a phone manufacturer to gain an unfair advantage as a software retailer.

This is a pretty damning violation of federal antitrust law.

I don't see Amazon as a monopoly, but as far as Apple goes, they currently hold the majority of phone sales in the US. A big reason for that is that they have a history of artificially preventing you from using certain device features with non-Apple products or services. iMessage is a good example as it took an order from China for Apple to add the RCS messaging standard that Android phones have had for years. Another example is that, while music apps on Android can use Google Assistant features, only Apple Music can utilize Siri features on iOS.

It should be inconvenient at least to run a monopoly.

The best our government can do is make mega corpos pay lawyers ... So at least we got some extra jobs out of it 🤡

Since they are creating extra jobs shouldn't government reward them with state aid for it?!

breaking up giant corps is how you keep capitalism running.

A major issue for the US is that when the president changes, the DOJ can simply elect to stop processing the suit. It's hard to get 8 years of uninterrupted movement on an action like this.

A big part of the "Cheney family endorses Harris" push has been corporate flacks racking up favors with the Dem side of the aisle so Harris can replace her cabinet with people who are more business-friendly in the next term.

They're playing both sides. This isn't just "Trump Wins: Things Get Worse" / "Harris Wins: Things Stay The Same Amount of Bad".

Did she say as much or are you guessing?

https://www.politico.com/news/2020/10/20/justice-department-antitrust-case-google-430281

Mozilla is definitely trying to diversify their income to not depend on Google, but let us not forget that despite Firefox's user share declining, their AI and ad friendly CEO keeps getting raises

I think Android is big enough to be immediately forked. There's many existing forks already, if they tried to take it private many companies would be invested in a new "Android core" being developed upstream - it's one of the few situations where open source can work, because businesses would throw money at an org that keeps them competitive

But I'll be hopeful but pessimistic about a Google breakup. It would be huge, it would be real change

But I don’t see any reason why they “wouldn’t be able” to have a deal anymore.

It's this part of the article that stuck out to me:

the DOJ suggested limiting or prohibiting default agreements and “other revenue-sharing arrangements related to search and search-related products.” That would include Google’s search position agreements with Apple’s iPhone and Samsung devices — deals that cost the company billions of dollars a year in payouts. The agency suggested one way to do this is requiring a “choice screen,” which could allow users to pick from other search engines.

Who?