How a breakup could upend Google (and the tech world)

Published On Nov 26, 2024, 4:00 AM

The article discusses the potential implications of the U.S. Justice Department's efforts to break up Google, which could alter the tech landscape significantly. In 2023, Google generated $307.3 billion in revenue, with a substantial portion coming from its ad-driven search engine business. The DOJ's proposals could impose limitations on how Google operates its search engine, affecting not only its revenues but also its relationships with partners like Apple, which receives substantial payments from Google. Legal experts believe it is unlikely that extreme measures such as divestitures will be ordered, but changes could still disrupt Google's market strategy.

Stock Forecasts

Given the ongoing litigation and potential changes to Google's operating structure, investors may want to monitor Alphabet (GOOG) closely. If significant restrictions are imposed on its search engine or relationships with partners such as Apple are altered, Google's revenue could be adversely affected. This could lead to a bearish outlook for its stock in the near term.

Related News

Investors are digging into Nvidia's earnings for insights into the AI boom.

NVDA
GOOG
MSTR

Investors are digging into Nvidia's earnings for insights into the AI boom.

NVDA
GOOG

Investors are digging into Nvidia's earnings for insights into the AI boom.

NVDA
GOOG
MSTR