US demands Google to sell Chrome browser to reduce competitive advantage
Date
11/24/2024 3:12:33 AM
(MENAFN) The US government is demanding that Google sell its Chrome browser in order to reduce its competitive advantage. This move, which would significantly shake the tech giant, is contingent on whether any parties express interest in purchasing the service. The request was made by the US Justice Department on Wednesday to a federal judge in Washington, who is set to rule next year on the penalties for Google’s alleged anti-competitive practices in online search services.
Dan Ives, an analyst at Wedbush Securities, stated that selling Chrome would be a major blow to Google, fundamentally altering its business model. The browser has become a key asset for the company, with its widespread dominance in the market. Losing it could have profound effects on Google’s operations and revenue streams.
Beth Egan, a professor of advertising at Syracuse University, emphasized that the sale of Chrome would deprive Google of a crucial internet portal. This portal is essential for gathering data that helps train its algorithms and enhances its search engine activity, which is central to its business. Chrome's dominance, accounting for nearly 70 percent of the browser market, has greatly reduced the market share of Microsoft’s Explorer and Edge browsers.
Despite the potential sale, many observers do not view this as an existential threat to Google. Egan likened the situation to the strict measures imposed by Apple on its Safari browser, specifically regarding the use of cookies, which are used to track user activity online. She pointed out that while advertisers faced challenges, they managed to adapt, and similarly, Google is expected to navigate this issue.
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