Wednesday, April 15, 2015

Google and Android in the sights of the European Commission – Express

The European Commission accuses Google of alleged abuse of dominant position and sent to the US company a Objections Communication. At issue is the use that Google is the search engine itself to promote, systematically, their products and price comparison services.

This means, for example, that Google gives greater prominence on the screen , the trade mark itself, away from those who research products and services of competitors, sometimes more innovative and more competitive in terms of price. The be confirmed, this practice undermines the European rules on competition, harming consumers and away from other companies in the market.

The US giant now has ten weeks to argue and respond to the preliminary analysis of European Commission. Margrethe Vestager, the Commissioner for Competition says it will look in a “fair and objective” to Google’s explanations before taking further decision.

Vestager promises to look at the case in the light of European competition law , an area where the Commission has the power of decision, including to determine the possible application of penalties. “A final consequence” that the Danish Commissioner does not, if confirmed misconduct of Google, but that, according to European sources, is not to have on the table. A fine in this case is equal to 10% of turnover (which puts the value in the thousands of millions).

“My goal is that consumers and innovative companies can benefit from an environment competitive in Europe, “he said today in Brussels, Margrethe Vestager.

In parallel, the Commission also decided to initiate a formal investigation into the Android platform, the operating system for mobile phones. In this new process, which takes place separately, Brussels also wants to investigate whether Google, which owns Android, carried out agreements that distort competition and abused its dominant position with regard to the operating system, applications and services for so-called smarthpones and tablets.

The dispute with Google began in 2010 and is a process that comes from the former Commissioner for Competition times, the Spanish Joaquín Almunia. In the past the EU attempted to resolve the impasse with the company through negotiations, but the proposal made by Google turned out not to satisfy the European Commission. Brussels decides now for sending the communication of Objections, a new step in the process against the US giant.

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