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Google Faces DOJ Push to Divest Chrome and Android to Restore Search Market Competition!

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7 months ago

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Google Faces DOJ Push to Divest Chrome and Android to Restore Search Market Competition!

In a landmark case that could redefine the digital landscape, the U.S. Department of Justice (DOJ) has called for Alphabet’s Google to take sweeping measures to address its dominance in online search. Prosecutors are urging Google to sell its Chrome browser and potentially its Android operating system, along with adopting other significant reforms, to break what has been deemed an illegal monopoly in search and related advertising markets.

DOJ’s Proposed Measures

The DOJ’s proposals aim to restore competition in the search market, where Google processes about 90% of all U.S. searches. These measures, which could remain in place for up to a decade, include:

  • Divesting Chrome: Google would be required to sell its Chrome browser to reduce its control over user data and ad targeting.
  • Selling Android (if necessary): If other remedies fail to create competition, Google might have to divest its Android mobile operating system.
  • Ending Exclusive Agreements: Google would no longer be allowed to pay billions to device manufacturers like Apple to make its search engine the default option.
  • Data Sharing: Google must license its search results to competitors at nominal costs and share user data freely, provided it does not breach privacy laws.
  • Opt-Out for Publishers: Websites and publishers would have the ability to exclude their content from training Google’s AI tools.

To ensure compliance, the DOJ has proposed establishing a five-person technical committee, funded by Google, with the authority to oversee enforcement.

Impact on Competition

Prosecutors argue that Google’s practices create a “perpetual feedback loop” that solidifies its market dominance through increased user data and advertising dollars. The DOJ claims these anti-competitive practices have deprived rivals of opportunities to innovate and grow.

Kamyl Bazbaz, head of public affairs at search engine DuckDuckGo, described the proposals as a significant step toward leveling the playing field, enabling smaller competitors to enter the market more effectively.

Google Pushes Back

In response, Alphabet Chief Legal Officer Kent Walker criticized the DOJ’s proposals, calling them “unprecedented government overreach.” Walker warned that these measures would harm consumers, developers, and small businesses, jeopardizing America’s technological leadership.

Google contends that forcing the sale of Chrome and Android—both built on open-source platforms—would negatively impact companies that have developed their products on these frameworks. Walker stated:

“The DOJ’s proposal would literally require us to install not one but two separate choice screens before you could access Google Search on a Pixel phone you bought.”

The company is set to present its counter-proposals in December, with the trial on the DOJ’s recommendations scheduled for April.

Chrome and Android: Key Assets Under Scrutiny

Chrome, the world’s most popular web browser, and Android, a dominant mobile operating system, are integral to Google’s business model. Both platforms enable Google to promote its search engine and gather user data, which drives its advertising revenues.

Prosecutors argue that Google’s bundling of its search engine with these platforms has stifled competition. The DOJ’s proposals would prohibit Google from mandating that Android devices include its search engine or AI tools, offering companies more freedom to choose alternatives.

Global Context

This case follows similar regulatory actions in Europe, where Google has faced fines and data-sharing requirements. DuckDuckGo has accused Google of circumventing European Union rules—a charge that Google denies while citing its commitment to user trust and privacy.

Next Steps

As the DOJ prepares for a trial in April 2025 regarding these recommendations, the outcome could reshape not only Google’s operations but also the broader tech industry. The stakes are high for both the company and the future of competition in digital markets.

Potential Implications

If successful, these measures could lead to significant changes in how tech companies operate within competitive markets. A divestiture of Chrome or Android may open up opportunities for new entrants in both browser and mobile operating systems markets.

Conclusion

The ongoing legal battle between the DOJ and Google represents a critical moment in antitrust enforcement within the tech industry. As regulators seek to dismantle monopolistic practices that hinder competition, all eyes will be on how this case unfolds and what it means for consumers and competitors alike. The potential restructuring of Google’s core services could pave the way for a more competitive landscape in digital search and advertising.

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Passionate about the entrepreneurial journey, I Konatham Abhishek shares the latest news on startups, founders, and funding, offering valuable insights and updates on the startup ecosystem.

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Latest News

Kerala Startup E-Quark Launches Innovative Mobile Holder with Built-In Charger

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3 days ago

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June 20, 2025

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Equark - StartupStories

Kerala-based startup E-Quark Molecule Innovations Pvt Ltd, headquartered in Thrissur, has introduced an innovative device called Keratin that combines a mobile phone holder with a built-in charger. This unique gadget is designed to offer users a convenient solution to hold and charge their smartphones simultaneously, addressing the common challenge of managing power supply while using mobile devices.

The device enhances user experience by integrating two essential functions into one compact design. It securely holds the phone while providing efficient charging, making it perfect for use on desks, bedside tables, or other personal spaces where easy access and power are needed. This innovation aligns with the growing trend of multifunctional mobile accessories that prioritize both convenience and practicality.

E-Quark Molecule Innovations is a key player in Kerala’s dynamic startup ecosystem, which has been rapidly expanding in tech-driven areas such as electric vehicle charging infrastructure. With the launch of this mobile holder-charger, the company is establishing itself as a leader in user-centric mobile accessories, further cementing Kerala’s position as a hub for cutting-edge technology development.

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New Instagram Features Let Users Customize Profiles and Share Quietly

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3 days ago

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June 20, 2025

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Instagram Grid

Instagram is rolling out two major features in June 2025 that promise to give users unprecedented creative control and privacy: grid rearranging and silent posting. The long-awaited grid rearranging tool allows users to freely drag and drop posts anywhere on their profile grid, breaking away from the traditional chronological order. This means users can now curate their profiles for a more visually appealing or thematic presentation, without the hassle of deleting and reposting content—an update especially welcomed by brands, creators, and anyone meticulous about their digital aesthetic.


In tandem, Instagram is introducing the “Post quietly to profile” feature, which lets users add photos and videos to their grid without notifying followers or pushing the content to their feeds. This silent posting option is ideal for those who want to document moments privately, experiment with new content, or maintain a cohesive grid without spamming their audience. It’s designed to reduce the pressure of public sharing, making Instagram a more comfortable space for personal expression and experimentation.

 

These updates reflect Instagram’s commitment to user empowerment and flexibility, responding directly to years of feedback. As Instagram head Adam Mosseri stated, the goal is to help users “create and share without added pressure,” giving them more freedom over how their content appears and how they engage with their audience.

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Zepto Delays IPO to Focus on Profitability and Indian Ownership

Published

6 days ago

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June 17, 2025

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Zepto - StartupStories

Overview

Zepto, a leading quick commerce startup, has postponed its planned IPO to early 2026, shifting its focus to achieving profitability and increasing Indian shareholding before going public.

Key Reasons for Delay

  • Profitability Focus: Zepto aims to reach EBITDA break-even before listing, unlike many tech firms that went public while still loss-making.
  • Market Uncertainty: Ongoing global and domestic market volatility influenced the decision to wait for more stable conditions.
  • Peer Comparison: The company wants to present a stronger profit profile, learning from the performance of rivals like Swiggy and Zomato (now Eternal).

Boosting Domestic Shareholding

  • Target: Zepto plans to raise Indian ownership to at least 51% to comply with FDI norms and reinforce its Indian identity.
  • Actions: The company is conducting secondary share sales to Indian investors and founders are increasing their stakes by buying from foreign investors.
  • Progress: Domestic ownership has reached about 40-44%, with expectations to surpass 51% before the IPO.

Financial and Operational Updates

  • Efficiency Drive: Zepto is optimizing operations, running over 900 dark stores and offering 48,000 SKUs, to reduce cash burn and move toward profitability.
  • Challenges: The company faces stiff competition from Swiggy Instamart and Blinkit, leading to higher costs, and has dealt with operational pauses and regulatory scrutiny in some regions.

Outlook

Zepto remains positive about its future, aiming to raise around $800 million in its IPO and attract both domestic and international investors. CEO Aadit Palicha emphasizes building a sustainable, majority Indian-owned business before entering the public market.

Summary: Zepto’s IPO delay reflects a strategic focus on financial stability and regulatory compliance, with profitability and Indian ownership at the forefront.

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