Published: Thu, October 11, 2018
Economy | By

Google appeals $5 billion European Union fine in Android antitrust case

Google appeals $5 billion European Union fine in Android antitrust case

Back in July, the European Commission handed out its largest fine ever - 4.34 billion euros ($5 billion) to Google over antitrust charges.

According to the New York Post, the Department of Justice is also looking into starting an investigation into Google's abuse of its Android monopoly in US, meaning the company may soon be fighting regulators on two fronts.

The EU has said that it will be looking whether to also include evidence that the company is trying to circumvent its other ruling about Google Shopping, which was also found to be non-competitive.

Google was convicted in July by the EU of abusing its dominant position in Android and had until the 22nd of October to present solutions to the European Commission.

Google provides Android free to smartphone manufacturers and generates most of its revenue from selling advertisements that appear along with search results. These practices have denied rivals the chance to innovate and compete on the merits. During that time, it was uncovered that Google had supposedly arranged payments to some manufacturers and network operators to exclusively pre-install the firm's services such as Search and Chrome by default. Ms Vestager described any such action as "a trojan horse" implying that the European Union would come down harshly if such a workaround was in use.

The EU decision "rejects the business model that supports Android, which has created more choice for everyone, not less", Mr Pichai added in a blog post.

The decision was made following two years-worth of investigation surrounding Google's Android practices.

The sanction almost doubled the previous record European Union antitrust fine of €2.4 billion, which also targeted Google, in that case for the Silicon Valley titan's shopping comparison service in 2017.

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