In a groundbreaking decision with far-reaching implications for the tech industry, a federal judge ruled on Monday that Google had engaged in illegal practices to maintain a monopoly in online search. The ruling by Judge Amit P. Mehta of the U.S. District Court for the District of Columbia marks the first antitrust decision of the modern internet era against a technology giant.

After a 10-week trial, the Justice Department and states successfully argued that Google had abused its dominant position in the search business. The company had allegedly cemented its monopoly by striking lucrative deals with major players like Apple and Samsung, paying them billions of dollars annually to make Google the default search engine on their smartphones and web browsers.

Judge Mehta's 277-page ruling declared, "Google is a monopolist, and it has acted as one to maintain its monopoly." This decision is set to have a profound impact on the operations of tech giants like Google, Apple, Amazon, and Meta (owner of Facebook, Instagram, and WhatsApp), as it challenges their immense power in the modern internet era.

While the ruling did not provide specific remedies, Judge Mehta will determine the next course of action, potentially requiring Google to modify its business practices or divest certain parts of its operations.

This landmark case, U.S. et al. v. Google, evolved from concerns over Google's substantial dominance in online search, which generates billions of dollars in profits annually. The Justice Department alleged that Google's search engine accounted for nearly 90 percent of web searches, a claim that the company disputed.

One key aspect of the case revolved around Google's substantial financial investments to become the default search engine on popular web browsers such as Apple's Safari and Mozilla's Firefox. In 2021 alone, Google reportedly paid Apple approximately $18 billion for this privilege.

Notably, during the trial, Microsoft's CEO, Satya Nadella, expressed concerns over Google's market dominance, referring to it as creating a "Google web" and criticizing its "oligopolistic" relationship with Apple. Nadella warned that if Google's power went unchecked, it could dominate the race in developing artificial intelligence.

Google's CEO, Sundar Pichai, countered these accusations, arguing that users choose to search on Google because it provides a superior service. The company's lawyers emphasized that Google consistently invests in improving the search engine for the benefit of consumers.

The government's case against Google also accused the tech giant of protecting a monopoly over search result ads, alleging that it manipulated prices to an excessive extent. These search ads yield billions of dollars in annual revenue for Google.

The ruling by Judge Mehta has significant implications beyond Google; it is expected to shape future antitrust lawsuits against other tech giants, including Apple, Amazon, and Meta. These investigations by the Federal Trade Commission and the Justice Department began during the Trump administration and have gained momentum under President Biden.

Experts believe that this decision sets an important precedent for the government's efforts to rein in the influence of large technology companies. By employing century-old antitrust laws, originally used to regulate utility monopolies such as Standard Oil, the government aims to establish credibility and bolster its broader agenda of applying antitrust laws to corporate America.

William Kovacic, a former chairman of the Federal Trade Commission, emphasized that the ruling provides momentum for the government's other ongoing cases, asserting, "It creates momentum that supports their other cases."

With the Microsoft antitrust case from the 1990s looming in the background, Judge Mehta scrutinized the legal aspects and sought explanations on how the specific allegations against Google aligned with existing legal precedents. The Microsoft case accused the tech giant of employing coercive tactics and leveraging its dominant platform to stifle competition—a backdrop against which Google's practices were evaluated.

The repercussions of this landmark ruling will play out as Judge Mehta determines the appropriate remedies for Google's conduct, potentially reshaping the tech industry and prompting significant changes in the business practices of dominant players.

Neither Google nor the Department of Justice immediately provided comments on the ruling.