Alphabet, Google’s parent company, led a blockbuster week for Big Tech as its stock surged more than 10% after a favorable court ruling in its landmark antitrust case. The decision by U.S. District Judge Amit Mehta stopped short of the harshest penalties, sparking a rally that added over $230 billion to Alphabet’s market value.
On September 2, Judge Mehta rejected the Department of Justice’s push for a forced breakup of Google’s core assets, including its Chrome browser and Android operating system. While reaffirming last year’s ruling that Google maintained an illegal monopoly in search, the court said plaintiffs had “overreached” in seeking divestitures. The judgment sent Alphabet shares up 8% in after-hours trading Tuesday, and over 10% for the week.
The surge helped drive the collective market capitalization of the eight U.S. tech giants past $21 trillion, with $420 billion added in a single week.
Apple Emerges as a Key Beneficiary
The ruling also buoyed Apple, which relies on its multibillion-dollar agreement with Google to keep the search giant as the default engine on iPhones and other devices. With that deal intact, Apple shares rose 3.2% for the week. Analysts at Wedbush Securities called the outcome a “huge overhang” removed for Google and a “black cloud worry” lifted for Apple, noting it could pave the way for deeper collaboration in artificial intelligence—particularly with Google’s Gemini models.
Google, DOJ React
In a blog post, Google welcomed the decision but voiced “concerns about how these requirements will impact our users and their privacy.” The DOJ, in its response, stressed the ruling underscored the need to stop Google from deploying anticompetitive tactics in emerging markets such as generative AI.
The case, which began trial in September 2023, now moves toward closure. Judge Mehta has ordered both sides to meet by September 10 to finalize the judgment—marking the end of one of the most consequential antitrust battles in modern U.S. history.
