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EU launches antitrust probe into alleged Google abuses | EU launches antitrust probe into alleged Google abuses |
(40 minutes later) | |
The European Commission has launched an investigation into Google after other search engines complained that the firm had abused its dominant position. | The European Commission has launched an investigation into Google after other search engines complained that the firm had abused its dominant position. |
The body said it would look into whether the world's largest search engine lowered the ranking of competing services in its results. | The body said it would look into whether the world's largest search engine lowered the ranking of competing services in its results. |
The probe follows complaints by firms including price comparison site Foundem and legal search engine ejustice.fr. | |
Google said it would work with the Commission to "address any concerns". | Google said it would work with the Commission to "address any concerns". |
Earlier this year the attorney general of Texas launched a similar investigation following complaints from firms including Foundem. | Earlier this year the attorney general of Texas launched a similar investigation following complaints from firms including Foundem. |
The objections in both cases are from competitors which allege that Google manipulates its search results. | |
"The European Commission has decided to open an antitrust investigation into allegations that Google has abused a dominant position in online search," href="http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/1624&format=HTML&aged=0&language=EN&guiLanguage=en" >the watchdog said in a statement. | |
It probably was inevitable that Google would get into trouble with competition authorities. | |
If you are as big as Google, you are bound to tread on people's toes, regardless of whether you move carefully or morph into a corporate monster. | |
The European Commission's competition watchdog's have quite a track record with tech companies: Microsoft and Intel both received bloody noses and had to pay massive fines. | |
This case, though, will be a tricky one, because to determine the outcome the Commission will have to look closely at Google's all-important search algorithm, the rules that determine whether your company shows up high or low in Google's search results. | |
Google regularly tweaks this algorithm, and as it changes the ranking it can make or break companies. | |
The Commission will have to look hard at the algorithm, or find a smoking gun in Google's e-mail trail, to pin down the US search giant. | |
It said the action followed "complaints by search service providers about unfavourable treatment of their services in Google's unpaid and sponsored search results coupled with an alleged preferential placement of Google's own services." | It said the action followed "complaints by search service providers about unfavourable treatment of their services in Google's unpaid and sponsored search results coupled with an alleged preferential placement of Google's own services." |
The Commission's investigation does not imply any wrongdoing by Google. | The Commission's investigation does not imply any wrongdoing by Google. |
"Since we started Google we have worked hard to do the right thing by our users and our industry," said the firm in a statement. | "Since we started Google we have worked hard to do the right thing by our users and our industry," said the firm in a statement. |
"But there's always going to be room for improvement, and so we'll be working with the Commission to address any concerns." | "But there's always going to be room for improvement, and so we'll be working with the Commission to address any concerns." |
The antitrust investigation will also probe the company's advertising practices. | |
Google is alleged to have imposed "exclusivity obligations on advertising partners, preventing them from placing certain types of competing ads on their web sites, as well as on computer and software vendors," according to an EC statement. | |
Advertising is the core of Google's business. | |
In addition, the EC said it would also look into "suspected restrictions on the portability of online advertising campaign data to competing online advertising platforms." | |
Google says it already allows customers "to take their data with them when they switch services". |