Google will be tied up in court for “many years” as it tries to avoid a hit in a pair of major federal antitrust cases targeting its business model, CEO Sundar Pichai acknowledged in a new interview.
US District Judge Amit Mehta ruled in August that Google operates an illegal monopoly over internet search, where it controls 90% of the market.
The case is currently in the corrections phase, where Mehta is expected to decide on a sentence by next summer.
When asked about the judge’s decision during an upcoming episode of Bloomberg’s “The David Rubenstein Show: Peer to Peer Conversations.” Pichai said: “We definitely disagree with the decision, but it’s still in the middle of the resolution phase.”
“We will appeal and this process will likely take many years,” Pichai added.
Elsewhere, Google is currently in court fighting a separate DOJ case that claims it operates a “trifecta of monopolies” through its control of digital advertising platforms used by advertisers and publishers, as well as an online marketplace that connects them them. It will likely be months before Judge Leonie Brinkema issues a ruling in that case.
“Where we can find constructive solutions, I think we will,” Pichai said
“Where we think it really hurts our ability to innovate on behalf of our users, we will be strong in protecting ourselves,” Pichai added. “It will take time to play.”
Some Wall Street analysts have already warned that Google is unlikely to emerge unscathed from antitrust clashes – with one telling clients that the tech firm is entering a period of “significant uncertainty” in the near term.
Critics of the company argue that an antitrust crackdown is essential to prevent Google from further strengthening its monopoly as it pours resources into artificial intelligence and other emerging technologies.
Pichai played down the risk, arguing that regulatory scrutiny was inevitable given the company’s scale.
He noted that a recent European Union court ruling to overturn a $1.7 billion fine against the company took nearly 10 years to resolve.
Shares of Google were flat in morning trading on Wednesday.
In both cases, the feds are expected to pursue a breakup of the Google empire, potentially upending a company that generated more than $307 billion in revenue last year.
Google has denied wrongdoing, arguing that it faces stiff competition and that customers use its products because of their quality.
The company will face another headache in the EU, where regulators are reportedly set to warn Google that it must change its search business practices or face hefty fines under the bloc’s Digital Markets Act.
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