Jonathan Kanter on Google ruling: A missed opportunity to change the market in a significant way

Antitrust Case Outcome & Implications - A US judge ruled Google will not have to spin off its Chrome browser, leading to Google shares jumping [1] - The government secured a significant victory, but the court's remedy was considered a missed opportunity to transform the market in a significant way [3] - The remedy is characterized as "somewhat toothless" and disappointing, failing to be transformative [6] - The court's decision months prior was bold, but the final remedy gave Google the benefit of the doubt [7] Payments for Default Search & Exclusivity - The court kicked the can down the road regarding Google's payments to companies like Apple for distribution, potentially revisiting the issue if the remedy doesn't work [7] - The distinction between paying for exclusivity versus paying to be the default search engine is unclear [8][9] - The court stated Google can't mandate that all Apple devices ship with Google as the default, but the details are unclear, especially if Google pays a price equivalent to exclusivity [9][10] - The court is relying on VC money to support competitors like Open AI, Perplexity, and Anthropic to compete on price [11] Market Reaction & Future Litigation - Apple shares are up 4%, likely due to the expectation that payments from Google will continue [11] - The court was clear that some form of payments will continue, which is likely why Apple's shares are increasing [12] - How Google pays for distribution and what it pays for is still unclear and is expected to be litigated further [13]