Tuesday, February 11, 2020

Does Google hold Monopoly Power?


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As of now 48 states, as well as Washington D.C. and U.S territory Puerto Rico, are launching investigations into Google and its dominance of the world wide web. They believe Google holds monopolistic power and many agree.

With their control over which websites appear on their search suggestions, they are able to give the top spots to the companies who pay for it. This means it is not the most relevant websites showing up, but the highest payer. This also allows Google to excessively promote their own companies in which they own several of. Huge companies owned by Google including Android and Youtube are growing more rapidly than ever because of this, only adding to their online dominance.

With 9 out of 10 total searches online being from Google, they are crushing any competitor and making billions off of it. This year Google will control 31% of global digital ad revenue. Proof of this is shown by the mass amount of wealth held by Google's parent company, Alphabet, which has a market value of $820 billion dollars to date.

While many may not see the big picture this is not just negatively affecting Google's competitors. For example, if someone were to look up the best clothing company for hiking, it may not be the most widely used or highly favored company that shows up for the first three, four results. It quite possibly could be some random company that knows nothing about hiking but has money to blow and paid Google the most for that top spot. Meanwhile, since that company had to pay more for advertising to get that top spot, not they will charge more for their clothes and the financial burden falls on the consumer.

https://www.cbsnews.com/news/google-antitrust-probe-48-u-s-states-launch-antitrust-investigation-of-google-dominance-in-search-ads-and-data/

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