Whinston’s testimony holds significant weight in the DOJ and state attorneys general cases against Google, which allege anticompetitive practices in online search and advertising. The focus centers on Google’s monopoly secured through revenue-sharing agreements that designate it as the default search engine on various platforms.
Evidence and Testimony
Whinston’s testimony relied heavily on internal company documents, often heavily redacted, which revealed Google’s financial arrangements and market share analysis. Notably, a Google estimate was disclosed, indicating that it would cost Apple $200 billion to establish a rival search engine.
The Importance of Defaults
Whinston emphasized that default settings are vital, not just because users find it challenging to change their preferences but because they impact market dynamics. He cited instances where Google’s market share decreased when competitors were introduced and argued that defaults significantly influenced user behavior.
The Influence of Scale
Whinston’s analysis of scale and its impact on competition was a focal point. While Google contended that scale’s significance is diminishing, Whinston argued that scale is vital in various ways, including attracting advertisers and offering users a one-stop-shop feature.
Continuing Cross-Examination
Whinston will return to conclude his cross-examination, exploring issues such as market definitions and competition. The ongoing trial promises to shed light on the complex dynamics of online search and the role of default settings.
Legal Representatives
The U.S. government is represented by a team of attorneys from the Department of Justice’s Antitrust Division. Google’s legal counsel includes representatives from Williams & Connolly LLP, Wilson Sonsini Goodrich & Rosati PC, and Ropes & Gray LLP.
