Google shares jumped on Wednesday after a federal court delivered a decision that spared the company from one of its biggest antitrust threats.
Alphabet, Google’s parent company, saw its stock surge more than 7% in after-hours trading after the ruling. The court rejected the government’s push to split off Google’s Chrome browser, a move that could have reshaped the tech industry.
The decision eased investor fears of a worst-case scenario, boosting confidence that big tech firms can still navigate growing regulatory scrutiny. Broader markets also ticked up, with S&P 500 futures rising 0.17% and the tech-heavy Nasdaq-100 gaining 0.35%.
Still, the win wasn’t total. The judge barred Google from signing exclusive search deals and ordered the company to share some search data with competitors. Even so, the ruling leaves intact major agreements like Google’s lucrative deal with Apple to make its search engine the default on iPhones. Apple’s stock climbed more than 3% after the news.
The case reflects how much the search market has changed since the lawsuit was first filed in 2020. The judge noted that the rise of generative AI has increased competition, giving consumers more options than ever before.
