European Union Fines Google $5 Billion For Using Android For Dominance
European Union fines Google €4.34B ( $5B ) for anti-competitive practices.
The European Commission said the Google had used Android operating system to illegally push its products and strengthen its dominant position.
What are allegations against Google ?
- Pre-installed Chrome web browser and Google search app is mandatory condition for handset manufacturers to access Google Play store.
- Google paid manufacturers and mobile operators to pre-install Google search app on their devices.
- It prevented manufacturers from selling devices running on alternate / mod versions of Android by threatening to refuse them permissions to pre-install apps.
Whats next ?
The European Union competition commissioner Ms. Margrethe Vestages said that Google carried out its anti-competitive practices when the mobile internet was growing quickly, helping it to strengthen its search services.
She can not turn clock back, but said the amount of fine is based on Google's search related earnings from Android devices since 2011.
Google has given 90 days to stop its anti-competitive practices or face further penalties of up to 5%of its average global daily turnover. European Union previously fined Google $2.8 Billions in separate case, It had also fined Intel, Qualcomm, Microsoft for anti-competitive practices.
CPU X's Take
Before Android Most of Manufacturers had to develop their own operating system which is very expensive and time consuming process. Android open source operating system certainly enables more manufacturers to make devices and compete for quality and price, Smartphones became cheaper since which is result of healthy competition between manufacturers . It would be nice to have same healthy competition in web browser apps and search engines .