Google (NASDAQ:GOOGL) chief executive officer, Sundar Pichai, has defended the company's decision to spend billions of US dollars to secure its position as the leading search engine, according to a report from The Wall Street Journal.
Facing scrutiny at a US anti-trust trial, Pichai emphasised the company's commitment to providing users with a "seamless and easy" experience, dismissing allegations that such payments create a monopoly.
"We realised early on that browsers are critical to how people are able to navigate and use the web," Pichai said.
"It became very clear early on that if you make the user’s experience better, they would use the web more, and they would search more in Google as well."
Unfair payouts
Legal authorities contest this perspective; the US Department of Justice argues that Google's extensive payouts to tech firms like Apple (NASDAQ:AAPL) have enabled it to dominate the search market unfairly.
Google's own financial records revealed a staggering US$18 billion paid to Apple in 2021 to remain the default search engine on its devices.
The total amount paid to tech companies in the same year was US$26 billion.
"Vicious cycle"
Other industry leaders have also expressed concern. Microsoft (NASDAQ:MSFT) CEO Satya Nadella described Google's market power as a "vicious cycle," claiming the tech giant leverages its 90% market share to further bolster its presence.
The anti-trust trial is anticipated to continue until at least early 2024.
Should Google be found in violation of antitrust laws, a subsequent trial may be required to decide on measures to curtail its market influence.