EU slaps Google with record $5 billion fine

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By Steven M. Peters Updated Published
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For once, Apple’s smaller market share works in its favor.

 

From Wednesday’s Wall Street Journal ($):

The European Union hit Alphabet Inc.’s Google with a record antitrust fine of €4.34 billion ($5.06 billion) and ordered changes to its business that could loosen the company’s grip on its biggest growth engine: mobile phones.

In the EU’s sharpest rebuke yet to the power of a handful of tech giants, the bloc’s antitrust regulator found Wednesday that Google had abused the dominance of its Android operating system, which runs more than 80% of the world’s smartphones, to promote and entrench its own mobile apps and services, particularly the company’s search engine.

Android phones come preloaded with Google apps and services, including Search. Competitors have long complained that Android’s dominance gives Google an unfair advantage in attracting users to those apps—and then using data from them to devise and target advertising. The preloaded apps stifle competing apps, the EU said.

My take: Good thing, for Apple’s sake, that it runs less than 20% of the world’s smartphones.

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