Law report No. GLW-1054 · filed October 10, 2026

Antitrust & CompetitionReported case

Google Appeals Antitrust Defeat, Defends Apple Search Deal

Google appeals Judge Mehta's Sherman Act ruling, telling the D.C. Circuit that Apple chose its search engine "fair and square" and that defaults reflect quality, not foreclosure.

By Grace Kim3 min read693 words

Holding

  1. Google has appealed Judge Amit Mehta's August 2024 ruling that it violated Section 2 of the Sherman Act.
  2. Google argues Apple selected its search engine 'fair and square' in *United States v. Google*.
  3. The trial record showed Google pays Apple billions annually in search revenue shares for default placement.
  4. The D.C. Circuit will hear the appeal; a Supreme Court petition is considered likely.
  5. Judge Mehta declined to order a Chrome divestiture in the remedies phase.

Google has formally appealed the landmark antitrust ruling that found it illegally monopolizes search, arguing in filings that Apple and other partners selected its search engine "fair and square" rather than through exclusionary conduct.

The appeal targets U.S. District Judge Amit Mehta's August 2024 decision in United States v. Google, in which the District Court for the District of Columbia held that Google violated Section 2 of the Sherman Act by maintaining its search monopoly through default placement agreements with device makers and carriers. Judge Mehta wrote that Google's conduct amounted to a foreclosure strategy that denied rivals vital distribution channels.

What is Google's core argument on appeal?

Google's central claim is that the district court mistook quality for exclusion. The company contends Apple chose Google Search as the default on Safari not because Google paid billions for the privilege, but because Google Search is simply the superior product. In its appellate submissions, Google says Apple chose its search engine "fair and square."

That framing takes direct aim at the heart of Judge Mehta's liability finding. The trial record showed Google pays Apple an estimated share of search advertising revenue — figures disclosed during litigation ran into the tens of billions of dollars annually — to remain the default search option on iPhones. Google argues the payments compensated Apple for genuine competition and that defaults are easily changed by users.

Why does the Apple relationship matter so much?

The Google–Apple arrangement was the single most consequential piece of evidence at trial. Roughly half of Google's U.S. search traffic flows through Apple devices, and prosecutors with the Department of Justice argued the revenue-share payments effectively bought off Google's most formidable potential distribution rival.

Judge Mehta agreed that these agreements harmed competition, even while noting that Google's search quality is genuinely high. His ruling drew the now-familiar distinction: a better product does not excuse contracts that lock up the distribution channels a rival would need to grow.

Google's appeal reframes the same facts. If Apple acted as a sophisticated commercial actor that could have promoted a competitor — and profited from doing so — then the defaults reflect free choice, not foreclosure. The company also argues users can switch search engines in seconds.

What are the practical consequences for practitioners?

Antitrust counsel expect the D.C. Circuit review to clarify how courts treat exclusive default agreements in digital markets, a question with broad implications for the tech sector's pending enforcement actions. Companies negotiating default-placement or revenue-share deals should track the appeal closely, because a reversal would narrow the theory of monopoly maintenance applied in United States v. Google, while affirmance would cement default-position payments as presumptively suspect conduct.

The appeal also affects the remedies track. Judge Mehta's remedies phase had already limited what the government could obtain — the court declined to force a divestiture of Chrome — and the eventual appellate outcome will shape both the final remedy and the evidentiary standard for future Section 2 cases involving platform defaults.

Litigators note that the D.C. Circuit's eventual ruling could take a year or more. Until then, the liability finding stands but remains unenforced in its final form.

What happens next?

The Department of Justice will defend the district court's judgment. Apple, which intervened in the case to protect its revenue-share agreement, also has a direct stake in the appellate outcome because the payments at issue represent a material share of its services income.

A three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit will hear the case. The court may affirm, reverse, or remand on liability, remedies, or both. Whatever the panel decides, observers on both sides anticipate a likely petition to the U.S. Supreme Court, given the case's significance for antitrust doctrine.

For now, the operative question before the appellate court is whether Judge Mehta correctly concluded that Google's multi-billion-dollar default agreements violated the Sherman Act — or whether, as Google insists, Apple and its peers simply picked the best search engine on the merits.

via GN Antitrust (Source)

Filed under

  • google
  • apple
  • sherman-act
  • search-monopoly
  • united-states-v-google
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Grace Kim

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Correspondent covering consumer brands and retail at Global Law Wire.

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