Google might pay $5 billion to the EU commission

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Google appealed against the European Commission’s $5 billion fine which was imposed on the tech giant in July alleging illegal usage of Android devices to improve their dominance on the Search engine. The Commission’s ruling gave Google a time period of 90 days to either end the anti-competitive behaviors or face an additional penalty. A report from ‘The Verge’ suggested that Google, on Tuesday filed to appeal against it.

The Commission said “Since 2011, Google has imposed illegal restrictions on Android device manufacturers and mobile network operators with the sole purpose of strengthening their hold over general Internet search.”

Margrethe Vestager, the Commissioner who is in charge of the competition policy said- “Our case against Google is about three types of restrictions that the company has imposed on Android device manufacturers and network operators in order to ensure that traffic from Android devices goes to the Google search engine only. With the help of this, Google has used Android as a vehicle to strengthen its dominance. These practices have not given a fair chance to its rivals to innovate and compete with Google on the merits. They have denied the European consumers the benefits of effective competition in the important mobile sphere. This is illegal under EU antitrust rules.”

In particular, Google requires manufacturers to pre-install the Google Search app and browser app (Chrome), which serves as a pre-requisite to receiving a license on the  Google’s app store (the Play Store). Google paid certain amounts to various big manufacturers and mobile network operators with the condition that they would exclusively provide pre-installed Google Search app on the devices. Also, those devices running on an alternate version of Android were not approved by Google

Reacting to this rule, CEO, Sundar Pichai said that the company would appeal against the Commission’s decision since it ignored the fact that Android phones compete with iOS phones.

The President of US, Donald Trump also slammed the EU for fining Google, and tweeted the entire incident by trying to prove that the bloc has “taken advantage of the US, but not for long!”

In addition to these charges, Google will also face a $2.7 billion fine from Europe’s anti-trust body because Google ranked its own shopping services higher than those of its competitors in search results purposefully.

I am a Tech Content writer and full-time blogger. Started my career as Engineer in Larsen and Toubro LTD. with 3 years of experience in Hyderabad Metro Rail Project. I like learning new things and believe that there can never be an end to learning. You can shoot an Email: teja@wiseawareness.com

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