Artificial Intelligence startup Perplexity in discussion to acquire Google Chrome browser
In a significant turn of events, the US Department of Justice has proposed that Alphabet's subsidiary Google sells its Chrome browser, following an antitrust ruling against the tech giant. The proposal comes after Judge Amit Mehta ruled that Google illegally monopolized the search market.
The decision, which reflects over a century of US antitrust law, has far-reaching implications for Google and the tech industry as a whole. If enforced, the sell-off of Chrome would sever Google's direct control over the world's most popular web browser, a move that could disrupt Google's search and advertising dominance.
Originally published in German, this article has been updated to reflect Perplexity's offer to buy Chrome for $34.5 billion, made in August 2025. Perplexity, a privately held San Francisco-based company founded in 2022, made headlines earlier for its offer to merge with the US arm of TikTok.
The consequences of such a sale could be significant. Ulrich Mueller from the anti-monopoly nonprofit Rebalance Now believes that a sell-off of Chrome would reduce Google's ad income and curb its market dominance. Nils Seebach, co-CEO and CFO of digital consultancy Etribes, stated that if Chrome is sold off, Google's business would be significantly impacted.
Financially, analysts at Barclays predict this could be a black swan event for Google’s stock, potentially causing a 15% to 25% decline in share value due to the loss of a key asset and the attendant disruption to Google's business model.
Losing control over Chrome could also mean a loss of valuable user data. Chrome not only facilitates access to Google Search but also collects extensive data on search habits, which Google leverages for product improvements and advertising revenue.
The sell-off of Chrome would open the browser to new ownership, with competitors like Perplexity, Search.com, and potentially OpenAI already signaling interest. New owners could alter the browser's integration with Google services, creating greater competition in search and digital advertising.
Google argues that offloading Chrome could expose billions to cyberattacks and make the browser obsolete since a new owner might not maintain the same security standards or integration. Regulators, however, are proposing that Google licenses search-related data to competitors, diminishing its market dominance further and enabling rivals to enhance their products.
The ruling against Google reflects a long history of antitrust action in the US, with historical examples including the breakup of Standard Oil in 1911 and the case against AT&T in the 1980s. Microsoft, another tech giant, was targeted by monopoly regulators in the late 1990s, with a US court ruling that the company must be split up due to its monopolistic practices. However, Microsoft appealed the ruling and avoided a breakup after making parts of its system accessible to competitors.
Antitrust regulators are also demanding new measures related to Google's artificial intelligence and Android smartphone operating system. In 2023, Alphabet generated over $230 billion in ad revenue, accounting for the majority of its $307 billion in total revenue for the year. The stakes are high, and the future of Google's browser and digital ad markets hangs in the balance.
The uncertainty about the timeline for legal proceedings against Google and a potential breakup adds to the uncertainty. Seebach noted that while the sell-off of Chrome could have significant implications, the timeline for such a move is unclear.
In the event of a sell-off, Mueller sees potential for alternative business models, such as subscription-based search engines. The potential reshaping of the browser and digital ad markets could pave the way for new players and business models to emerge. Only time will tell how this unfolds.
Read also:
- Innovative Garments and Accessories Producing Energy: Exploring Unconventional Sources for Renewable Power
- Digital Commerce Giant Clips Unveils Its Latest Offering, Clip Ultra, Fortifying Its Dominance in Mexico's Market
- Tesla-powered homes in Houston cause buying rush among interested buyers
- Unveiling Location, Drops, and Strategies for Grounded 2's Northern Scorpion
