Google received the highest fine in the world from the European Commission: $ 5 billion
Google, one of the largest technology companies in the world, was fined by the European Commission yesterday with a record amount of 4.34 billion euros ($ 5 billion). The reasons are anti-competitive practices related to how the Android operating system is implemented on smartphones and the business model of the company. This fine comes just one year after Google received another $ 2.4 billion fine for its online shopping service that favored certain products.
The European Commission agrees that all Android devices are factory-fitted with Google apps and services, regardless of manufacturer . Thus, competition in the search market such as search engines does not have equal chances since Android smartphones have the majority of the market. One of the arguments for this historic fine was the fact that other search or search engine manufacturers do not have equal chances in the market.
Sundar Pichai, Google CEO, has published a formal statement on his blog explaining that users can always uninstall Google apps and replace them with others on the Google Play Store by offering some examples of popular alternatives to Google Chrome
" The decision overlooks the fact that phones with the Android operating system are competing with iOS phones, a confirmed aspect of 89% of market participants made by the Commission. Also omits the fact that Android offers countless choices to thousands of phone manufacturers and mobile network operators who produce and sell Android devices; millions of application developers around the world who have built their business with Android and billions of consumers who now allow and use state-of-the-art Android smartphones.
And this is possible due to simple rules that guarantee technical compatibility, regardless of the size or shape of the device. No phone maker is required to adopt these rules - they can use or modify Android in any way they want, as Amazon did with Fire pads and TV sticks
you have other application preferences - or browsers or search engines - than pre-installed ones, you can easily uninstall or delete them, and you can opt for other apps, including those created by approximately 1.6 million Europeans who have earned their experience as application developers . Basically, a regular Android phone user will install just about 50 applications. "Overall, over 94 billion apps from the Google Play store have been downloaded last year. "Browsers such as Opera Mini and Firefox have been downloaded more than 100 million times, UC Browser more than 500 million times."
October to stop "illegal practices" . Otherwise, the company will have to pay 5% of the income for each additional day. However, to put a $ 5 billion fine into the $ 5 billion fine, it is equal to the company's revenue for just 16 days since 2017. Last year, the company recorded revenues of $ 110.9 billion.
Google will appeal this decision by calling so it will take some time for us to find the outcome of this case. If Google misses the call, Android smartphones sold in the EU may be delivered without Google's default apps, so the company has to offer users various device options for the first device setup, a problem with which Microsoft also faced a few years ago.