Google is currently dominating the market in the European Union and have allegedly been abusing this dominance. In light of this the EU, on Thursday, filed charges of anti-trust against the American technology giant, Google. Pressure related to the misuse of this market dominance have been on the increase, with these charges adding considerable pressure to the pile.
In total there are currently three cases pending between Google and the European Union, with all cases related to their market dominance being abused. One of these cases were filed in April and was regarding the Google operating system found in the Android smartphones. The other case that was filed against Google, again by the EU, was due to allegations that their market dominance was abused for online shopping. And now the third has surfaced, after the Silicon Valley Company supposedly restricted display of competitor advertisements on certain websites.
In a news conference held in Brussels, the EU Competition Commissioner- Margrethe Vestager- told media that the market dominance that Google has in the European Union is not the concern, but rather the abuse of their market position. Vestager also said during the news conference that these anti-trust charges filed, comes after concerns were raised regarding hindering competition through limiting search engine adverts of competitors on specific third party websites. Vestager is of the opinion that it affects innovation as well as consumer choice negatively.
In response to charges laid against Google, the US technology company has been given 10 weeks to respond and also has not been available for comment to the media. These charges come a mere day after the deadline for April’s case extended. The announcement was made on a visit to Brussels by Jacob Lew, Us Treasury Secretary.
Vestager is well known for the various battles that have been started with American companies, especially with regards to competition concerns. These battles has been one of the causes for the strain that have been put on transatlantic ties.
The opportunity to respond to changes that Google has been provided with, is Google’s last resort to sanction avoidance. As these sanctions could result in quite the hefty fine, should Google be unable to avoid possible sanctions.