Massive Fine For Google Doesn’t Make Any Sense
I really do not understand the whopping £3.8 billion fine the European Commission has just slapped on Google, for anti-competitive behaviour.
The Commission has determined that by requiring manufacturers of Android devices to load other Google products, e.g. Chrome and Play Store, on those phones and tablets, Google is being monopolistic and denying the user the opportunity to use other browsers and app stores.
The reality is, to my mind, somewhat different.
Google could easily roll its operating system and apps into a single product, technically inseparable.
That would be no design challenge whatsoever.
That it does not so this and gives the option to delete those apps and load alternatives appears the very opposite of anti-competitiveness.
I have been musing on similar situations in other industries.
Picture someone buying a holiday.
They purchase their flight, their holiday rep service and their excursions and party nights, through a travel agent, as a package from Tui.
Other flights and excursions are available.
Nevertheless, the Brussels bureaucrats are not fining Tui because travel agents are unable to invite customers to keep the rep service and trips but ditch the flight and take a seat with Thomas Cook instead!
Suppose Cadbury ran a lengthy promotion on a supersize box of Milk Tray which involved giving away a Wispa with each one sold. Would the Euro-crats squeal that this was anti-competitive and customers should have the option of a Nestle Aero bar instead?
According to informed sources, Google intends an appeal.
So, whilst just short of four billion quid is small change to both Google and the EU, at least a few lawyers could get rich on this one!