Google Stock Jumps 8% as Judge Permits Preloading Payments in Antitrust Ruling

US District Judge Amit Mehta issued a significant ruling on September 2, 2025, in the landmark antitrust case against Google, largely preserving the tech giant's ability to make payments for preloading its products. The decision, handed down by the U.S. District Court for the District of Columbia, addresses remedies following an August 2024 ruling that found Google held an illegal monopoly in online search. This outcome has been widely interpreted as a favorable development for Google, leading to an immediate surge in its stock value.

The court explicitly stated that Google would not be barred from offering consideration to distribution partners for the preloading or placement of Google Search, Chrome, or its GenAI products. Judge Mehta reasoned that "cutting off payments from Google almost certainly will impose substantial—in some cases, crippling—downstream harms to distribution partners, related markets, and consumers," according to the decision. This aspect of the ruling was highlighted by Jessica Lessin, who tweeted,

“Google will not be barred from making payments or offering other consideration to distribution partners for preloading or placement of Google Search, Chrome, or its GenAI products. Cutting off payments from Google almost certainly will impose substantial—in some cases, crippling—downstream harms to distribution partners, related markets, and consumers, which counsels against a broad payment ban.”

Despite allowing payments, the ruling does impose crucial restrictions aimed at fostering competition. Google is now barred from entering or maintaining "any exclusive contract" related to preloading its search engine or key applications. This means Google cannot bundle its Android services with Google Search or condition revenue share agreements on the acceptance of other Google apps or services, nor can it prohibit partners from simultaneously distributing rival products. Additionally, revenue-sharing agreements are limited to one year.

Further, the judge declined the Department of Justice's more aggressive proposals, including the forced divestiture of Google's highly popular Chrome browser. While Google must share certain search index and user-interaction data with qualified competitors, the court deemed a Chrome sale a "poor fit" for the remedies, noting that the rise of generative AI had "changed the course of this case" and could naturally introduce more competition. The DOJ, however, stated it would "continue to review the opinion to consider the Department’s options and next steps regarding seeking additional relief."

Following the announcement, Alphabet shares surged by approximately 8% in extended trading, reflecting investor relief over the less severe remedies. Apple, a significant recipient of Google's preloading payments, also saw its shares rise by over 3%. This decision culminates a years-long legal battle initiated by the Justice Department in 2020, with the case likely to face further appeals, extending the legal saga for years to come.