Google faces EU fine of €2.4bn over Android phones

Google is expected to be hit with a second EU competition fine in mid-July for using its dominant Android mobile operating system to squeeze out rivals, according to three sources.

Google faces EU fine of €2.4bn over Android phones

By Foo Yun Chee

Google is expected to be hit with a second EU competition fine in mid-July for using its dominant Android mobile operating system to squeeze out rivals, according to three sources.

The European Commission, which has been investigating the case involving the unit of Alphabet since 2015, could issue its decision in the week of July 9, although the timing might change.

As a deterrent to others, the EU penalty is likely to top the record €2.4bn fine handed out to Google last year for unfairly favouring its shopping service, sources told Reuters last year.

The EU competition enforcer will also tell Google to stop its anti-competitive practices such as licensing deals which prevent smartphone makers from promoting alternatives to apps such as Google Search and Maps.

Android is the most important of three EU cases against world No 1 internet search engine Google because of its huge growth potential.

EU-mandated changes, however, may have little impact on Google because of its market power and the benefits of sticking with the company, industry executives, analysts and even its critics have said.

The commission declined to comment.

Google pointed to a 2016 blog by its general counsel Kent Walker who rejected the EU charges.

Google recently sought a closed-door hearing in a bid to present its case to senior commission officials and national competition agencies.

The request came after Google was told of new details and evidence which the regulator plans to use against the company, other sources said. Its request was denied.

A third case where Google was accused of blocking rivals in its online AdSense search advertising in 2016 is likely to drag on to the end of the year or even later, other sources said.

The company has since stopped its alleged anti- competitive behaviour.

Last year, commissioner Margrethe Vestager said that Google had abused its market dominance in shopping by “promoting its own comparison shopping service in its search results, and demoting those of competitors”.

Reuters

more courts articles

Man (25) in court charged with murdering his father and attempted murder of mother Man (25) in court charged with murdering his father and attempted murder of mother
Man appears in court charged with false imprisonment of woman in van Man appears in court charged with false imprisonment of woman in van
Man in court over alleged false imprisonment of woman Man in court over alleged false imprisonment of woman

More in this section

FILE PHOTO The Competition and Consumer Protection Commission has cleared the purchase of Goodbody Stockbrokers by AIB END Goodbody Stockbrokers fined over €1.2m by Central Bank over rules breaches
Nottingham City Centre Stock Irish staff at the Body Shop wait for wages as retailer shuts stores in the Republic
Ryanair comments on Norwegian Ryanair boss O'Leary's spat with Transport Minister over Dublin Airport escalates
IE logo
Devices


UNLIMITED ACCESS TO THE IRISH EXAMINER FOR TEAMS AND ORGANISATIONS
FIND OUT MORE

The Business Hub
Newsletter

News and analysis on business, money and jobs from Munster and beyond by our expert team of business writers.

Sign up
ie logo
Puzzles Logo

Play digital puzzles like crosswords, sudoku and a variety of word games including the popular Word Wheel

Lunchtime News
Newsletter

Keep up with the stories of the day with our lunchtime news wrap.

Sign up
Cookie Policy Privacy Policy Brand Safety FAQ Help Contact Us Terms and Conditions

© Examiner Echo Group Limited