Guest Adi Robertson, senior tech and policy reporter, joins the show to discuss the US v Google antitrust trial. Topics also include the iPhone 15 event, Google's dominance in the search engine market, and Unity's new pricing model causing developer backlash.
The US v Google antitrust trial centers around the significance of defaults and their impact on competition in the search market.
Google's exclusive deals and payments to Apple for default search position on the iPhone are raising concerns about fair competition.
The trial is assessing the effects of Google's control over defaults on alternative search engines and the competition in the search market.
Deep dives
Google's chief economist emphasizes the importance of scale and data
Google's chief economist, Hal Varian, was questioned about internal emails highlighting the significance of scale and data. The Department of Justice (DOJ) presented arguments opposing Varian's claim that data is not everything in the search market. The DOJ also introduced the concept of defaults, asserting that defaults matter significantly and that Google pays large sums to secure default positions. The trial has raised questions about the influence of defaults and the impact of Google's deals on competition.
The power of defaults becomes a key focus in the trial
The debate surrounding the power of defaults played a prominent role in the trial. The DOJ argues that defaults are essential and that Google's exclusive deals prevent fair competition, limiting alternatives for users. The DOJ raised concerns about Google's payments to Apple to maintain its default search position on the iPhone. The use of defaults and the influence they have on user behavior is a central point of contention in the case.
Google's treatment of vertical search engines comes under scrutiny
The trial touched on Google's treatment of vertical search engines like Yelp and TripAdvisor. Competitors argue that Google's exclusive deals hinder their ability to compete. While this aspect was initially part of the case, it was largely trimmed down. However, the impact of Google's control over default positions on alternative search engines is still being assessed. The trial will further explore the effects of defaults and exclusivity agreements on competition in the search market.
The Google v. Epic trial is getting little attention but could have significant consequences.
The trial between the US government and Google is being kept largely under wraps, with limited access for reporters and no audio stream for witnesses. Despite being potentially the most consequential trial of its kind, it hasn't garnered much public attention. Google's ability to fly under the radar and their attempts to keep the trial hidden may be contributing factors. The trial focuses on Google's deals, particularly with Apple, to be the default search engine on various platforms.
Unity faces backlash over pricing changes, raising concerns among developers.
Unity, one of the largest game engines, has faced criticism for its recent pricing changes. The company plans to charge developers for each install, and the sudden announcement without sufficient communication has angered many developers. While some developers threaten to leave Unity, switching game engines can be a substantial undertaking. This controversy raises questions about the relationship between Unity and Apple, as Unity's engine plays a crucial role in Apple's push into spatial computing with the Vision Pro platform.
It's been a week! The Verge's Nilay Patel, David Pierce, and Alex Cranz rejoin the studio to process all the tech news and announcements. Apple had its annual hardware event where the iPhone 15 and new Apple Watch lineup were shown off.
Later, senior tech and policy reporter Adi Robertson joins the show to walk us through the US v Google antitrust trial that kicked off earlier in the week.