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Has google achieved monopoly?!

The EU has accused Google on multiple occasions for antitrust cases and the firm has been forced to pay almost $10 billion dollars in fines. Yet, this has been the biggest antitrust case in modern history. The investigation by the EU began in 2010 when a british comparison site, Foundem, and a french search engine called eJustice.fr complained that Google is discriminating competitors by reducing their visibility and classification in the search ranking. However, the European Commission didn’t accuse Google for anti-trust issues until 2015. In fact, over the last decade there are several reasons Google has been found guilty, including search result manipulation, all of which interrupt innovation, eliminate competition  and contribute to creating a Monopoly for Alphabet Inc. Yet the giant tech company has been accused of unfairly and intendedly favoring its own services by forcing smartphone makers to pre-install apps owned by Google such as Google Chrome. Moreover, Google is accused of breaching competition rules by funding Android phone manufacturers to exclusively pre-install Google’s search engine on the phone devices they  produce and preventing them from selling mobiles that have installed other versions of Android. Due to the anti-trust law cases imposed by the EU, Google was forced to unbundle its Google search and Chrome browser from Android devices. As a result,  Android phone makers will no longer have to manufacture devices with these particular apps preinstalled. This was definitely a step towards the right direction, but unfortunately there are no massive changes with regards to competition.

Additionally, Google was also fined by the EU’s executive branch, the European Commission for abusing its market dominance by promoting its own shopping comparison services at the top of the search results from its online shopping tool, leaving no room for competitors to advertise their products. The Commision ruled that this treatment is anti-competitive and goes against the EU regulations and therefore, gave Google 90 days to make major changes to its search engine  algorithm and to stop any illegal practices or face high penalty payments.

Google's biggest issue regarding the regulations isn't necessarily the changes in its shopping ranking results nor the financial loss. In fact, the firm's biggest concern is that regulators are compelling changes in the way Google handles search. Google’s model is focused on formulating  its search results in a particular way in order for them to have more functionalities rather than just providing a list of websites. In fact, google's current model includes voice-control virtual assistants, and  aims to supply users directly with what they are searching for. However, as google continues to favor its own ranking, this opens the door from more lawsuits by competitors in the future.

It is clear that the European Commission attempted to interrupt Google’s quasi-monopolistic position within the region with the goal to contribute in creating a healthy and competitive market … but if you ask me it’s probably too late! While the severity of the fine may make the firm wince in instant pain, the EU ruling doesn't seem to make any significant changes as it comes too late to head off Google’s dominance of the European market. The 5 years that the EU was investigating the case between 2010 and 2015 were very crucial years where Google increased  its market dominance and user engagement to the network. Within those 5 years society adopted smartphones in their daily lives as an extension of the human body and utilized google's facilities through their devices on a daily basis. This is clear evidence that the bureaucrats in Brussels faced difficulties keeping up with the rapid evolution of market forces in the tech sector. If these concerns were addressed earlier there would definitely be more space for  effective changes. However, the EU has undoubtedly set boundaries in order to reduce current illegal practices and prevent future illegalities by Google search engine.

 On the other hand, The United States have blamed the European Union for unfair treatment towards American companies over issues including tax policies and online privacy. In fact, Donald Trump has publicly declared inappropriate comments for the EU competition commissioner Margrethe Vestager such as “ The Brussels tax lady hates the U.S.”. Yet, unprofessional and insulting statements are not surprising when it comes to the ex-president of the United States. However, Europe highlights that the purpose of such cases is to stop anti competitive behaviours and restore fair conditions, rather than ensuring that rivals won more business and continues to investigate illegal practices in the tech sector.    

Sofia Vana