Is Google a True Monopoly?

777 Words Aug 11th, 2011 4 Pages
Is Google a true monopoly?

Abstract

Google is arguably the most popular search engine used on the internet. The company offers superior search results and clearly employs workers with innovative ideas that can keep the company ahead of the competition. However Google’s own mission statement requires that it “Do no evil,” meaning that it has made readily available the tools that have made the company successful. The Justice Department would like to categorize Google as a monopoly, but due to its open book reporting and its development of additional services, proving monopolistic status would be difficult and perhaps ineffective.

A monopoly is defined as “a firm that is the sole seller of a product without close substitutes”
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It was estimated that 1 in every 65 dollars in the economy belonged to Rockefeller. Based on this and other high profile examples, a case can be made against any government regulation.
As mentioned before, Google maintains that it does not meet the requirements of a monopoly. It is more likely that they could themselves to be involved in monopolistic competition. In a monopolistic competition, there are many firms that offer similar products or services that are similar but not identical. Google has conducted business in a smart way. When Google entered the internet market, companies such as Yahoo and MSN had been in widespread use. Google began in direct competition with the search engines of these companies. The company gained near immediate popularity due to its simple design and later its more helpful and accurate search results. Over time, Google added email, image searches, You Tube, and most recently its own web browser to compete with Internet Explorer called Chrome. Had Google not chosen to develop these other avenues, the share they hold in the internet search industry could easily be classified as a monopoly. This is because of the way Google offers search results. The methods used are innovative and while readily available to the competition, according to Google itself, are unique to

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