Brussels, Statement by
Commissioner Vestager on Commission decision to fine Google €4.34 billion for
illegal practices regarding Android mobile devices to strengthen dominance of
Google's search engine, according to official Europe Union site.
Today, the Commission has decided
to fine Google 4.34 billion euros for breaching EU antitrust rules. Google has
engaged in illegal practices to cement its dominant market position in internet
search. It must put an effective end to this conduct within 90 days or face penalty
payments.
Google's search engine is its
flagship product. Every year, Google generates more than 95 billion US dollars
from adverts, such as those shown to and clicked on by users of Google Search.
And much of this revenue is thanks to the rise of smart mobile devices, namely
smartphones and tablets.
Today, mobile internet makes up
more than half of global internet traffic. It has changed the lives of millions
of Europeans. No matter if we're waiting for the metro, sitting in a meeting
room or discussing with friends at the dinner table – more and more our hands
reach for our smartphones and tablets to find the information we are looking
for.
Our case is about three types of
restrictions that Google has imposed on mobile device manufacturers and network
operators to ensure that traffic goes to Google Search:
First, Google has required manufacturers to
pre-install the Google search and browser apps on devices running on the
Android mobile operating system. Manufacturers had to do this if they wanted to
be able to sell devices with the Google app store.
Second, Google paid manufacturers
and network operators to make sure that only the Google search app was
pre-installed on such devices.
Third, Google has obstructed the
development of competing mobile operating systems. These could have provided a
platform for rival search engines to gain traffic.
In this way, Google has used
Android as a vehicle to cement the dominance of its search engine.
These practices have denied
rivals the chance to innovate and compete on the merits. They have denied
European consumers the benefits of effective competition in the important
mobile sphere. This is illegal under EU antitrust rules.