The end of the Google era
Summary
TLDRThis week, Google faces a landmark antitrust lawsuit, accused of maintaining a monopoly by paying billions to be the default search engine on devices. The company also discontinues its Chromecast, replacing it with a new Google TV streamer. Meanwhile, the Humane AI pin struggles with high return rates, and Apple introduces a distraction control feature in iOS 18 beta. Intel reports progress on its next-gen process nodes, aiming to catch up with TSMC, while Disney+ raises prices and plans a password sharing crackdown.
Takeaways
- π Google has been labeled a monopolist by the U.S. Department of Justice in a significant antitrust lawsuit, with implications for the tech industry.
- π‘ Google's alleged monopolistic practices include paying billions to make Google the default search engine on browsers and Android devices, thereby stifling competition.
- π The court found that Google's monopoly power allows it to maintain high ad prices, leading to superior ad placements and profits, which in turn funds its competitive exclusion strategy.
- π’ Even if Google's search quality declined, its revenues would reportedly remain stable, highlighting its monopolistic control over the market.
- π° The high costs of competing with Google's search engine, estimated at billions of dollars by both Google and Apple, have deterred competitors from entering the market.
- πΊ Google has discontinued the Chromecast streaming device after 11 years, replacing it with a new, higher-end Google TV streamer at $99.
- π The new Google TV streamer offers enhanced features such as 4K HDR, Dolby Vision and Atmos, and is powered by Google's natural language search capabilities.
- π Humane AI's device, the 'Pin', is facing dismal sales with returns exceeding new sales, and due to T-Mobile limitations, returned units cannot be refurbished or resold.
- π± OnePlus has released a new Apex edition of its foldable phone with a unique color, 1TB of storage, and a privacy feature that disables camera and microphone access.
- π‘οΈ Google has unveiled the fourth generation of its Nest Learning Thermostat with a complete redesign and a 60% larger display, priced at $280.
- π Anker has launched a range of high-end charging products, many of which are GaNitrite powered and designed for compactness.
Q & A
What was the outcome of the Anti-Trust lawsuit against Google by the United States Department of Justice?
-The lawsuit resulted in a 286-page decision by a US judge, concluding that Google abused its dominance for over a decade, stifling competition by paying browser makers and Android brands to make Google the default search engine, and charging super-competitive prices for ads.
How did Google maintain its monopoly according to the lawsuit?
-Google maintained its monopoly by paying to make itself the default search engine on browsers and Android devices, which allowed it to earn monopoly profits and afford to squeeze out competitors.
What was the significance of Google's internal study conducted in 2020 regarding search quality?
-The study showed that even if Google significantly reduced the quality of its search, the revenues from search would still be fine, indicating a firm with monopoly power that operates without concern for users switching to other search engines.
What are the potential implications for Google if the ruling stands?
-Google may be forced to stop paying others to be the default search engine, which could create massive challenges for device makers, including Android OEMs and Mozilla, and potentially help other search engines and advertisers.
What is the estimated cost for Apple to run a general search engine like Google?
-Apple has calculated that it would cost $6 billion annually, on top of what it already spends on developing search capabilities, to run a search engine like Google.
Why did Google discontinue the Chromecast and what did they replace it with?
-Google discontinued the Chromecast after 11 years and 100 million units sold. They replaced it with a new, higher-end device called the Google TV streamer, which comes with improved specs and features.
What are the key features of the new Google TV streamer compared to the old Chromecast?
-The Google TV streamer includes 4K HDR with Dolby Vision and Dolby Atmos, more internal storage, Ethernet, Matter thread, and natural language search powered by Google's Gemini.
What is the current situation with the Humane AI pin and why is it considered a disaster?
-Returns of the Humane AI pin are outpacing sales, with only around 7,000 pins still with customers. The returns cannot be refurbished or resold due to a T-Mobile limitation, potentially leading to significant e-waste.
What is the significance of the new report from The Verge regarding the Humane AI pin?
-The report indicates that the Humane AI pin is less successful than initially thought, with high return rates and an inability to refurbish or resell returned units, highlighting a major issue with the product's market viability.
What is the new feature in Apple's iOS 18 beta called 'distraction control' and how does it work?
-The 'distraction control' feature in iOS 18 beta allows users to temporarily remove ads from websites while reading or taking screenshots, providing a cleaner viewing experience without blocking ads entirely.
What is the significance of the departure of John Schulman from OpenAI to join Anthropic?
-John Schulman's departure is significant as it represents another high-profile defector from OpenAI's leadership team, potentially signaling issues within the company and impacting its reputation and operations.
What are the implications of Intel's next-gen foundry process nodes 20A and 18A for the company's future?
-The successful development and launch of Intel's 20A and 18A process nodes could potentially allow the company to catch up with TSMC, ending a significant technological gap and improving Intel's market position.
Outlines
π Google's Antitrust Case and Tech Industry Implications
Google faced a monumental antitrust lawsuit, resulting in a ruling that could significantly impact the tech industry. The U.S. Department of Justice declared Google a monopolist, accusing the company of abusing its dominance for over a decade, thereby stifling competition. The court highlighted Google's practice of paying browser makers, including Apple and Mozilla, as well as Android brands like Samsung, billions to set Google as the default search engine. This tactic allowed Google to maintain a monopoly and earn 'monopoly profits.' The ruling suggests that Google's search engine dominance is partly due to its ability to push out competitors. The company's internal study revealed that even a reduction in search quality would not affect revenues significantly, demonstrating its monopolistic power. The lawsuit's outcome could potentially force Google to cease payments for default search engine status, affecting device makers and browser competitors, including Mozilla, which heavily relies on Google's payments. While Google is expected to appeal, the industry could face monumental changes.
πΊ Chomecast Discontinued and Google TV Streamer Launch
Google announced the discontinuation of its Chomecast streaming dongle after 11 years and 100 million units sold. Simultaneously, Google introduced a new device, the Google TV streamer, priced at $99 and set to launch in September. The new streamer boasts higher-end specifications, including 4K HDR with Dolby Vision and Dolby Atmos, more internal storage, Ethernet, Matter, and Gemini-powered natural language search. The move to discontinue Chomecast and launch a higher-end device suggests Google's strategy to move upmarket in a market already saturated with affordable dongles and TVs with built-in casting capabilities. The decision to retire the Chomecast brand, despite its popularity, reflects Google's tendency to innovate and evolve its product offerings.
ποΈ Humane AI Pin Flops and Other Tech News
The Humane AI Pin has become an even greater failure than anticipated, with The Verge reporting that returns are exceeding sales, leaving only around 7,000 units with customers. The inability to refurbish or resell returned units due to a T-Mobile limitation has led to potential e-waste. Humane's attempt to sell itself to HP for $1 billion a few months ago, despite knowing the product's failure, highlights the company's desperate situation. In other tech news, OnePlus launched an Apex edition of its foldable phone with a new color, 1TB of storage, and a privacy feature that disables camera and microphone access. Google unveiled the fourth generation of its Nest Learning Thermostat with a complete redesign, a 60% larger display, and a price tag of $280. Anor introduced six new high-end charger products, many of which are G nitrite powered and compact. Apple is reportedly working on its smallest computer ever, a Mac Mini with an M4 chip, potentially as small as an Apple TV. iOS 18 beta introduces 'distraction control,' allowing users to temporarily remove ads for a better reading or screenshot experience. OpenAI co-founder John Schulman left the company to join rival Anthropic, following other leadership departures. Disney+ announced a price increase and a crackdown on password sharing starting in September. Olympic athletes were given special edition Samsung Galaxy Z flip phones, many of which are being sold. Intel reported that its turnaround is on track with its next-gen foundry process nodes, 20A and 18A, and the Panther Lake client processor, made with 18A, is already booting Windows within Intel ahead of schedule.
Mindmap
Keywords
π‘Anti-Trust lawsuit
π‘Monopolist
π‘Market share
π‘Chromcast
π‘Google TV streamer
π‘Humane AI pin
π‘Nest Learning Thermostat
π‘Distraction control
π‘AI chatbot
π‘Intel Foundry process nodes
Highlights
Google lost an Anti-Trust lawsuit with major implications for the tech industry, being labeled a monopolist by the United States Department of Justice.
A 286-page decision concluded Google abused its dominance for over a decade, stifling competition.
Google paid browser makers and Android brands billions to ensure its default search engine status.
The court found Google's monopoly power allowed it to charge super-competitive prices for ads.
Google's tactics created a cycle of market dominance and ad revenue growth.
A study revealed Google could reduce search quality without affecting revenues, indicating monopoly power.
Apple estimated it would cost $6 billion annually to develop a search engine to compete with Google.
Google's potential remedies could include stopping payments for default search engine status, impacting device makers and browsers.
Google officially discontinued its Chromecast streaming dongle after 11 years and 100 million units sold.
Google launched a new device, the Google TV streamer, at a higher price point with enhanced specs.
The Humane AI pin faced high return rates, with returns outpacing sales and units unable to be refurbished due to T-Mobile limitations.
OnePlus introduced an Apex edition of its open foldable phone with 1TB storage and a privacy-focused VIP button.
Google released the fourth generation of its Nest Learning Thermostat with a complete redesign and a larger display.
Anker launched six new high-end charger products, many of which are GaNitrite powered and compact.
Apple is reportedly launching its smallest computer ever, a Mac Mini with an M4 chip potentially as small as an Apple TV.
Apple's iOS 18 beta introduces 'distraction control' to temporarily remove ads from websites for a cleaner reading experience.
OpenAI co-founder John Schulman left the company to join rival Anthropic, following other leadership departures.
Disney+ increased its subscription price and will start enforcing password sharing restrictions in September.
Intel claims its turnaround is on track with next-gen process nodes 20A and 18A on time, aiming to catch up with TSMC.
Transcripts
hey happy Friday this week Google lost
an Anti-Trust lawsuit with massive
ramifications for the whole tech
industry the company also killed off its
chomecast and then kind of rebooted it
and the Humane AI pin is somehow an even
bigger disaster than we thought welcome
to the Friday
[Music]
checkout this video was sponsored by
brilliant okay for my first story of the
week the United States Department of
Justice just called Google a monopolist
in what could be described as the
biggest Anti-Trust lawsuit since
Microsoft a 286 page decision was handed
down by a us judge which concluded that
Google abused its dominance for well
over a decade and gave the competition
no real chance to compete a big part of
the ruling was that Google paid browser
makers like apple and Mozilla as well as
all major Android Brands including
Samsung tens of billions of dollars
every year to make Google the default
search engine the judge said that Google
is a monopolist and it has acted as one
to maintain its Monopoly and also that
quote importantly the court also finds
that Google has exercised its Monopoly
Power by charging supera competitive
prices for General search tax ads that
conduct has allowed Google to earn
Monopoly profits so they pay to squeeze
out the competition which allows them to
have massive market share that then
leads to much better ad placements and
much more profitable ad placements
because they have huge inventory and way
more places to place the ads into which
allows them to gain more per search
which allows them to be able to afford
to squeeze out the competition again
that is the cycle that they're alleging
here now everyone basically agrees that
Google is the best search engine but the
ruling argues that this is in large part
because they were able to squeeze out
the competition with this tactic Google
even conducted a study in 2020 to see
what would happen to its bottom line if
it were to significantly reduce the
quality of its search and found that the
revenues from search would still be fine
this led to a judge saying that quote
the fact that Google makes product
changes without concern that its users
might go elsewhere is something only a
firm with Monopoly power could do that's
why Google itself has found that people
would probably not switch even if the
search result quality got significantly
worse Apple has apparently calculated
that it would cost $6 billion annually
on top of what it already spends
developing search capabilities to run a
general search engine like Google while
Google internally estimated $20 billion
were needed to reproduce Google's
technical infrastructure dedicated to
search so it would be hugely expensive
and of course Apple would earn less
because they would have much less market
share too so understandably Apple choose
to simply not compete and while we still
don't know what the result of these
files will be one thing that looks very
possible is that Google will be forced
to stop paying others for being the
default search engine and given that
competitors can monetize less well I
guess that would create massive
challenges this would potentially hit
device makers including Android oems
many of which rely on Google payments
for their razor thin margins but also
Mozilla whose entire Firefox product
depends on Google paying them $510
million a year to be the default so
ironically while these changes might
help other search engines and maybe even
advertisers get lower rate it might also
basically put one of Google's biggest
competitors in the browser space out of
business of course these remedies are
not set in stone yet and Google will
definitely appeal but for now this looks
like it might create Monumental changes
across the industry okay for my second
story of the week we have to talk about
chomecast Google officially killed
chomecast its streaming dongle after 11
years and 100 million units sold the
bandwagon to jump on is of course to
make fun of yet another product being
placed in the Google graveyard but the
real story is more interesting as they
also launched a new higher end device
called the Google TV streamer and Stat
it is $99 it is coming in September and
as you would expect it has higher end
specs than the chomecast did this
includes 4K HDR with Dolby vision and
Dolby Atmos more internal storage
ethernet matter thread and of course
some Gemini powered natural language
search too so why is Google doing the
switch well Google said that the Nvidia
Shield was our gold tier price point as
well as gold tier performance and this
is really what it's going to be with our
Google tier TV streamer presumably the
market is flooded with cheap dongles
already and almost every TV has casting
built into so I suppose Google wanted to
move up Market from that I don't
understand why they also had to throw
away the very popular chomecast brand
but that's Google for you okay and for
my third story of the week the Humane AI
pin is somehow even less successful than
we thought a new report from The Verge
says that returns are outpacing sales
right now there's only around 7,000 pins
still with customers today and what's
really strange is that returns can't be
refurbished or resold because of a
T-Mobile limitation that means that pins
can't be reassigned this means that all
the return units are potentially e-w at
this point I wouldn't even really want
to make fun of them anymore because it's
mostly just sad but then I also remember
the following just a few months ago
Humane tried to actually sell itself to
HP for $1 billion at this point they
must have already known how much of a
disaster they had on their hands so I
guess they really tried to fake it until
they made it okay moving on to our
release monitor we have a short one
again and this one starts with a new a
Apex edition of the OnePlus open
foldable it has a pretty new color 1 TB
of storage and a special VIP button that
weirdly enough cuts off your camera and
microphone access for privacy okay I
guess next Google also launched the
fourth generation of its nest learning
thermostat with a complete redesign
after about a decade including a 60%
larger display and a price of
$280 and finally Anor launched six new
high-end charger products that range
from docking stations to charging cables
many of these are G nitrite powered and
they all seem very compact so those who
like high-end Chargers might like these
okay and for the brief we start with
Bloomberg reporting that Apple will soon
launch its smallest computer ever a Mac
Mini Made even more mini with an M4 chip
which might even be as small as an Apple
TV nice meanwhile still with apple the
company has just launched a really nice
idea in its iOS 18 beta called
distraction control which will actually
allow you to wipe out ads from websites
if they bother you as you read or try to
screenshot something the ads do load so
this is not a proper ad blocker but you
can just wipe them away temporarily if
you want to concentrate that's pretty
elegant and I want to see this on
Android too and for our last Apple news
people have dug into Apple intelligence
and discovered files in plain text that
set the behavioral prompt for the AI
chatbot these hilariously include things
like do not hallucinate and do not make
up factual information which man if like
that's the solution to AI not
hallucinating like you just tell it to
not do it that'll be absolutely
hilarious meanwhile over at open AI one
of the co-founders John Schulman has
announced that it's leaving the company
to join rival anthropic and thereby
joining many of the other defectors from
open ai's leadership team ouch next
Disney plus is getting a lot worse first
they announced a price hike making
Disney plus now cost $16 for a basic
plan which is up from $7 at launch and
the company's password sharing Crackdown
will also properly start in September
yikes then in funny news athletes at the
Olympics were given special edition
Samsung Galaxy Z flip phones and guess
what they did with them many of them are
selling them of course and Mima Intel
says that its turnaround is on track
after all as its next gen Foundry
process nodes called 20a and 18a are on
time if you remember those are the ones
that come after 3 nanom and the Panther
Lake client processor which is the first
chip made with 18a is already powered on
and booting Windows yielding well in use
inside Intel and ahead of schedule on
product qualification Milestones of
course Intel is absolutely desperate for
good PR right now so we should take all
of this with many grains of salt but
they say that the 18a processing chips
with it are supposed to be launching in
2025 already and if they're right then
that would mean that they would actually
theoretically catch up with tsmc finally
Intel is going through one of the
biggest engineering crunches in tech
company history trying to Leap Frog the
three four maybe fiveyear technological
lead that tsmc has and also burning tens
of billions of dollars in the process at
the heart of this transformation are
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