ipl-logo

Google Antitrust Case Summary

1200 Words5 Pages

Overview of the Issue The European Commission has sued Google claiming the company has, in breach of EU antitrust law, abused its dominant market position by imposing restrictions on Android device manufacturers and mobile network operators. Google Android is the world's dominant mobile operating system, with about 80% of the market for smart mobile devices in Europe. Google released the source code of Android under open source licenses. Most Android devices are shipped with proprietary software required for accessing Google services. On April 20, 2016, the European Commission filed an antitrust complaint against Google arguing that Google hinders the ability for competing search providers to be integrated into Android, and barring vendors …show more content…

European Commissioner Margrethe Vestager, in charge of competition policy, said: "A competitive mobile internet sector is increasingly important for consumers and businesses in Europe. Based on our investigation thus far, we believe that Google's behaviour denies consumers a wider choice of mobile apps and services and stands in the way of innovation by other players, in breach of EU antitrust rules. These rules apply to all companies active in Europe. Google now has the opportunity to reply to the Commission's concerns". In a statement responding to the EU's statement, Kent Walker, Google's general counsel, said the company would aim to show regulators that Android has been "good for competition and for …show more content…

Hiroshi Lockheimer, who is in charge of Android at Google, argues that the licensing terms serve to keep Android from fragmenting into incompatible versions and "make sure that people get a great 'out of box' experience with useful apps right there on the home screen". It is in line with the Principle 3 "Ensure Products Meet Highest Standard" to the consumers. The commission disagrees with the Google's excuse. The licensing conditions, it argues, limit the freedom of manufacturers to choose the apps they want to pre-install, and make it hard for rivals to compete on their merits. This stifles competition and harms consumers, especially by limiting innovation, according to Margrethe Vestager, the EU's competition commissioner. "A strong incentive for innovators is that they can present their product to consumers," she said. "If that isn't possible, why bother?" Another principle and code of ethics that was related is Principle 1.05 "Cooperate in efforts to address public concerns". Google responded to the allegations made by the European Commission and promised to give cooperation. Kent Walker, Google's general counsel, said "Android has helped foster a remarkable and, importantly, sustainable ecosystem, based on open-source software and open innovation. We look forward to working with the European Commission". The case is still

More about Google Antitrust Case Summary

    Open Document