Ecommerce & Logistics

Google To Pay A Heavy Fine To The EU

In the upcoming hours, Google will discover if it has to pay a fine over its Android operating system in EU. The European Commission has claimed that the U.S. based tech giant is unfairly widening its dominance of search in the market and sidelining local competition.

If all proves right, EU can fine Google with 10% of its annual revenue amounting to $ 11.1 billion. Additionally, it can ask Google to remove Android from the Chrome browser and other services.

Google’s scrutiny started in April 2015 after complaints were made by Fairsearch- a trade group that includes Nokia, Microsoft, and Oracle. At that time, Android held 64% of Europe’s handset market as per Statcounter and grew to 74%.

The commission made three allegations against Google’s behaviour; making a prerequisite for Android handset and tablet producers to set Google as default search engine, preventing manufacturers from selling mobile devices powered by rival operating systems and providing financial incentives to manufacturers to provide Google’s search service as the only default option.

Google has denied all such allegations. However, this is not the first time such allegations have been levied against Google, Russia has already forced Google into making concessions when it was impacting local competition in Russia.

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