Google's historic fine for $ 5 billion



[ad_1]

The antitrust authority of the European Union has imposed on Google a historic fine of $ 5,000 million for taking advantage of its operating system for Android phones and tablets to consolidate the position dominant of its search engine.

It is illegal to strengthen their dominant position in Internet research, "said EU Commissioner for Competition Margrethe Vestager, who warned that the company should end the practice within 90 days, if not new fines

that "companies must compete on their merits", adhering to antitrust rules that favor consumers and open markets, and not restricting competition.

California giant with Mountain thirst View (Western United States) announced that will appeal the decision, considering that "Android has created more options for all [los consumidores] not less" as he blames it in Brussels, according to his words Idente Sundar Pichai

This new European fine against a Silicon Valley company, which stands at about $ 5 billion at the current exchange rate, could further deteriorate relations with the meadow. US President Donald Trump, already tense because of the dispute On Wednesday, the head of the Commission, Jean-Claude Juncker, will travel to Washington to try to defuse the trade dispute with a US president ready to increase the penalty, which could have reached 10% of global business Alphabet (Google's parent company), is also the highest due to abuse of dominant position, after 2.424 billion euros in 2017 taxes to Google to help your Google Shopping price comparison in your search engine.

90 days

Android, an operating system used by 80% of the world's mobile phones and equivalent to IOS for Apple's iPhone, are in the crosshairs of the European Commission for several years.

"Google's search engine is its flagship product, and each year Google generates more than $ 95 billion in revenue from advertising" in Google search, "for whom" much of that revenue comes from the rise of mobile devices such as smartphones and tablets. "

Brussels accuses Google of forcing mobile device manufacturers, such as Samsung in South Korea or Huawei in China, to pre-install the device. Google search application and its Chrome browser to obtain a license for its store Play Store applications.

It would also have allowed major manufacturers and operators of mobile networks to pre-install Google search exclusively on their devices and would have limited the development of new open source versions of Android.

In April 2016, the European Commission presented to Google its statement of charges, but the company Mountain View has failed to erase its concerns, Brussels has given 90 days to correct these practices. If it does not comply, the European Commission could impose coercive fines of up to 5% of the figure. Alphabet's average daily business, which in 2017 recorded $ 110.9 billion ($ 94.700 million)

In the case of its Google Shopping price comparison, the company introduced in September a series of solutions that Brussels continues to examine

The Californian group also lodged an appeal in September 2017 against the Brussels decision. European Justice

The decision of the court could take about two years considering the complexity of the case.

In addition to Shopping and Android, the Community Executive maintains a third impetus with Google for abuse of dominance, specifically for its AdSense Advertising System (80% of the market in Europe). The open investigation could end with a new fine.

[ad_2]
Source link