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Google's possible purchase of ITA Software Inc. may lead to an antitrust investigation

It's well understood that Google is the world's most popular search engine. The company runs over one million data centers and servers around the world, and is well known by computer users of all levels from beginners to professionals. But as of late, this success is being viewed as internet dominance by both the Federal Trade Commission and the Justice Department. 

Google is an American multinational public corporation that runs the world's most successful search engine, and also owns the Android operating system. The company is also involved in cloud computing and advertising technologies. It was incorporated as a privately held company in 1998, with its initial public offering in 2004. The company has grown tremendously over the years, and now processes over one billion search requests per day. 

Now, Google is looking to expand its presence even more by purchasing ITA Software Inc., which is an airline ticketing software company. This transaction will cost Google $700 million if it decides to go through with the purchase. 

But this purchase could cost Google more than just the $700 million. According to recent reports, the FTC is looking to launch an antitrust investigation of Google's internet dominance, but the investigation will be pursued only if the Justice Department decides whether it will challenge the ITA Software purchase. 

The FTC and the Justice Department are not the only agencies looking into Google's web dominance. Last November, the European Commission launched a similar investigation, and last week, Microsoft filed a complaint with European antitrust regulators because of Google's growing presence and power over web search competition. 

According to Bloomberg, the Justice Department is expected to announce its decision soon, but there is no set time or date at this point. 



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RE: What Competition?
By Reclaimer77 on 4/5/2011 7:19:38 PM , Rating: 2
More fear-mongering. Yes Google has plans to conquer the world, thank god the FTC has their eye on em right?

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It's more about how Google is branching out into everything related to the Internet.


You mean like Microsoft, Apple, etc etc?

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Sounds a bit hypocritical to say you don't want competition in this industry and to then say the government is anti-business for starting to question Google's dominance over everything related to the Internet.


I think you missed the point. Has Google overtly done anything illegal or even unethical to discourage others from doing the same? Where is it written that Google and only Google can "dominate" everything Internet related?

So if you are ready, willing, and able to extend your market share beyond what others can/have, something is inherently wrong with that. That's the vibe I'm getting here, isn't that what you're saying?

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So I obviously don't dislike some of the things they've done, but if they start buying all these companies and patents that pertain to the Internet, networking, and e-commerce, then how could anybody possibly come up with something else to compete with them?


Again, it's perfectly legal for Google and private parties and buy and sell at will. What's the problem again? NOTHING is stopping someone else from doing the same. There was room 5-10 years ago for competition and there's still room today.

If nobody else steps up is Google supposed to just sit on their ass and worry about other companies not being able to compete with them and do nothing? They are a business, they have shareholders, it's their responsibility to gross as much profit as possible.

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To summarize, Google so far has been a good company to deal with, but at what point does their reach into the realm of the Internet exceed what any single company should have?


Well I guess at THAT point, whatever it is because you can't still define it, we can go crying to the FTC. Some tiny purchase of $700 million isn't getting us to that point though.


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