European Union Commissioner for Competition Margrethe Vestager had earlier imposed a penalty of 2.4 billion euros on Google in connection with the ‘Shopping Comparison Service‘. Google appealed against the order in which the hearing is still going on.
The European Union has imposed a fine of 4.3 billion euros (approximately 344 billion rupees) on Google.
The European Commission gave the verdict, after the investigation of the claim that it was alleged that American company Google wrongly made Google search engine more vigorous under its mobile device strategy.
This is the biggest penalty imposed on any company. Although Google can claim against it.
In addition, there is an investigation going on about Google’s ads (ad placements) against Google. In this case, Google has alleged that he misused his powers and publicized his shopping service in search results.
The European Commission first started investigating Android in April 2015 after a complaint from FairSearch. FairSearch is a business group whose members include Microsoft, Nokia and Oracle.
According to the research company Statcounter, Android’s European handsets were 64% in the market at that time, which has now increased to 74%.
What is the charge on Google?
- European Union Commissioner for Competition Margrethe Vestager has accused Google of adopting three illegal methods.
- Before reaching the Play store in the new handset, pressurizing Android handsets and tablet makers to make the Google search engine default and the need to pre-install Chrome browser need to be pressed.
- Mobile manufacturers prevented mobile phones from competing operating systems based on the open source code of Android.
- And to make Google search the only pre-install alternative, mobile manufacturers and mobile networks have given financial temptation.
Google responded by refusing mobile users to preload any app.
Google has also claimed that giving Google Search and PlayStore together made it possible to make its service available for free.
What do the regulators want from Google now?
The Competition Commissioner Margrethe Vestager said that Google did this when mobile internet was growing rapidly. It wanted to make sure that the success it found in the advertising-based search service on the computer’s desktop was the same as it found on mobile.
He said that he can not turn back on time, but the huge amount of the penalty is based on his earnings from Android devices in entire Europe since 2011.
However, he said that Google now avoids adopting any of the above three tasks and avoiding any such measures regarding goals.
What is the option have Google?
In 2016, the head of the corporate affairs of the company wrote in the blog, “This view of the commission will mean reduction in newness, fewer options, less competition and more prices.”
He wrote, however, Apple and Google’s rival iOS operating system gives consumers an option.
Google has already given concession in Russia, where the local competition regulator has made such a complaint.
Now the Android users are given the option of choosing one of Google, Yandex and MailRU for the first time using Chrome browser.
According to the Stuttgart, the share of Yandex’s mobile search engine has increased from 34% to 46% since this change.
But a legal expert says that it will take a long time to resolve the dispute.
London-based court lawyer Sujan Rab, “Google has shown it earlier that it is very firm on its legal rights.”
He says, “Google can appeal against this decision in the EU court and as such we have seen in the case of the European Commission against Intel, such cases do not last for months.”