Google is currently facing a series of legal challenges, with a particularly significant ruling coming from the state of Texas. A long-running case, initiated in 2022, saw Texas Attorney General Ken Paxton suing Google for allegedly tracking and storing users' location data and facial recognition information without consent. After years of legal proceedings, the judge ruled in favor of Texas, ordering Google to pay $1.375 billion (approximately ₹11,740 crore). This settlement, stemming from two separate lawsuits, is the largest of its kind, surpassing similar settlements with other states over privacy violations.
The Texas Attorney General heralded the settlement as a major victory for the state's privacy, emphasizing that companies like Google must be held accountable for exploiting user data. Paxton stated, "This $1.375 billion settlement is a major win for Texans' privacy and tells companies that they will pay for abusing our trust." In response, a Google spokesperson downplayed the significance of the settlement, claiming that the issues raised were from older claims, many of which had already been addressed through changes in product policies.
One of the key concerns addressed by the settlement is Google’s tracking of users even when using private or incognito mode. As part of the agreement, Google is required to update its privacy policies to reflect these changes. The deal also involves a third issue: ensuring that users are better informed about how their data is used and giving them more control over their privacy settings.
The settlement comes after Meta (the parent company of Facebook and Instagram) reached a $1.4 billion settlement with Texas in 2023 over biometric data misuse. This suggests a broader push against major tech companies' handling of personal data.
In another concerning development for Google, a cybersecurity firm, Surfshark, released a report that criticized Google Chrome for being one of the most data-hungry browsers. The report revealed that Chrome, which dominates the global browser market with almost 70% of users, collects an extensive range of personal information, including contacts, financial data, location, search history, and various device identifiers. The integration of this data across Google's ecosystem—such as Search, Gmail, and Maps—blurs the line between providing services and invading privacy.
Moreover, Google is grappling with antitrust concerns. The US government has labeled Google a monopoly, arguing that its dominance harms competition and stifles innovation, particularly among smaller startups. The Department of Justice is pushing for measures to address these concerns, including the possibility of forcing Google to divest its Chrome browser. Given Chrome's massive user base and its role as a "gateway to search," this could radically alter how people experience the internet. The government is also suggesting that Google should share its vast search data, such as its search index and results, with competitors to level the playing field.
However, Google has fiercely opposed these proposals, arguing that forcing it to sell Chrome or share its search data would undermine its competitive edge and compromise user privacy. The company insists that its success is the result of innovation and smart business decisions, and that penalizing such achievements would set a harmful precedent. Google has warned that the proposed measures are "extreme" and “fundamentally flawed.”
With the government expected to finalize its decision on potential remedies by late summer, the outcome could have profound implications not just for Google but for the broader tech and regulatory landscape.