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The Persuader

My personal blog, started in 2006.



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19.07.2018

The EU lands Google with another fine—but will Google change?


Zain Ali

The EU gets it when it comes to fines. Rather than the paltry US$17 million certain US states’ attorneys-general stung Google with some years ago for hacking Iphones, they’ve now fined the search engine giant €4,340 million, on top of its earlier fine of €2,420 million over anticompetitive behaviour.
   That US$17 million, I mentioned at the time, amounted to a few hours’ income at Google.
   As the EU’s competition commissioner Margrethe Vestager noted on Twitter, ‘Fine of €4,34 bn to @Google for 3 types of illegal restrictions on the use of Android. In this way it has cemented the dominance of its search engine. Denying rivals a chance to innovate and compete on the merits. It’s illegal under EU antitrust rules. @Google now has to stop it’.
   Google forces manufacturers to preinstall Chrome if they want to install Google Play. The EU also notes that virtually all Android devices have Google Search preinstalled, and most users never download competing apps, furthering Google’s dominance of search. Google pays manufacturers and cellphone networks to preinstall the Google search app on their phones, and prevented manufacturers from installing Google apps if their versions of Android were not approved by Google.
   DuckDuckGo, my search engine of choice, welcomed the decision. It noted:

   This last Tweet is particularly damning about Google’s deceptive practices (or, as I call them, ‘business as usual’ for Google):

   That’s consumer confusion on top of restrictive contracts that promote market dominance and anti-competitive behaviour.
   This is a very petty company, one that shut down Vivaldi’s Adwords account after its CEO gave some interviews about privacy.
   Of course I’m biased, and I make no apology for it—and anyone who has followed my journey on this blog from being a Google fan to a Google-sceptic over the last decade and a half will know just how Google’s own misleading and deceptive conduct helped changed my mind.
   Google’s argument, that many Android manufacturers installed rival apps, clearly fell on deaf ears, and understandably so. While I’m sure Android experts can think up examples, as a regular person who occasionally looks at phones, even those ones with rival apps still ship with the Google ones. In other words, there’s simply more bloat. I’ve yet to see one in this country ship without a Chrome default and Google Play installed, often in such a way that you can’t delete it, and Google Services, without getting your phone rooted.
   I did read this in the Murdoch Press and thought it was a bit of a laugh, but then maybe my own experience isn’t typical:

The impact of any changes mandated by the EU decision on Google’s ability to target ads to users—and to its profitability—is an open question. The two apps targeted in the EU decision, Google’s search and its Chrome browser, are extremely popular in their own right. Consumers are likely to seek them out from an app store even if they weren’t preinstalled on the phone, said Tarun Pathak, an analyst at research firm Counterpoint.

   I just don’t believe they would, and I made it a point to get a phone that would, happily, have neither. By buying a Chinese Android phone, I escape Google’s tracking; by seeking out the Firefox browser, I get to surf the way I want. That choice is going to create competition, something that Google is worried about.
   The Wall Street Journal also states that despite the earlier fine, Google’s shopping rivals said little or nothing has actually happened.
   With all of Google’s misdeeds uncovered on this blog over the years, I’m really not surprised.
   The EU is, at the very least, forcing some to examine just how intrusive Google is. It might soon discover how uncooperative Google can be.

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Filed under: business, technology, USA—Jack Yan @ 12.54

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