DOJ Pressures Google to Sell Chrome, Affecting Apple’s Annual Revenue

In August 2024, US District Judge Amit P. Mehta ruled that Google maintain illegal monopoly in online search, now, the Department of Justice (DoJ) is considering remedies to terminate Google’s market dominion, potentially leading to a substantial loss of revenue for Apple, according to Politico.

In 2022, Google paid Apple around $20 billion annually to make its search engine default on iPhones, then came the DoJ’s launch of a Goggle Apple antitrust case that threatens the deal between the Big Tech giants.

The final ruling on these remedies is expected to go into effect by August 2025, but Google plans to appeal the decision.

Google Apple Antitrust Lawsuit

According to The Wall Street Journal, the DOJ is considering measures to handle in its own way Google’s monopolistic practices, with one of the actions means forcing Google to stop its payments to Apple for making Google the default search engine on Apple devices.

The Google Apple court case will challenge Apple’s services revenue, which has become one of company’s key revenue flows as iPhone sales slow. If these payments cease, Apple might look into Microsoft’s Bing to offer the iPhone parent financial incentives to secure default placement on its devices.

The Google Apple antitrust lawsuit centers on Google’s previous deals with Apple and many companies, which triggered critics to argue help Google maintain its dominance in search engines to prevent rival tech companies from gaining a significant market share.  

While the Apple vs Google court case process is still in the beginning, if the DOJ succeeds in restricting Google’s monopolistic practices, the legal process could significantly have far-reaching consequences for how tech companies develop deals and share revenue.

On the other hand, Apple being a part of this lawsuit sheds the light on the importance of its business services, like backing up its iPhone sales slowdown with lucrative Google partnership to sustain its growth. 

Trump’s Role in The Apple Vs Google Lawsuit

However, there is a key factor adding complexity to the Google Apple Antitrust case which is how the incoming Trump administration might approach it.

On one hand, President Trump’s first term saw the filing of the original antitrust complaint against Google, and many within his political circle are critical of Big Tech’s influence and practices.

Apple’s Tim Cook, who built a strong connection with current President-elect. Donald Trump during the first term, managed to convince him to free Apple products from tariffs on China imports.

Given this relationship, it’s unclear how Trump’s second administration will ultimately handle the case.

Final Thoughts

The return of a second Trump administration braces further uncertainties, not only for Google, but also TikTok, as both companies find themselves in a similar position regarding regulatory scrutiny.

The return of a Trump administration will influence the outcome of its case with Apple. Trump’s past actions have shown a selective approach to regulating Big Tech companies, balancing between criticism of their market monopoly and cultivating relationships with key players like Apple.

The way President Trump chooses to address this Google Apple antitrust issue will reveal whether he aims to lead in the tech giants and impose stricter regulations or if he will soften his stance in support of their business interests.

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