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U.S. Federal Trade Commission investigating Google's abuse of Android

The FTC is expanding its investigation into Android related to complaints that Google is exploiting its ostensibly open platform to shut out rivals.


Android

According to a report by the Wall Street Journal, the agency has been meeting with companies to "examine industry concerns that Alphabet Inc.'s Google abuses the dominance of its Android smartphone software," an extension of the investigation it initiated last year.

Google is already under examination in Europe, where the European Commission pressed a new set of antitrust charges against the company, saying that Google is hindering competition by locking in certain Android apps or versions of Android.

In the U.S., FTC staffers have reportedly sought new data from at least two other companies, indicating that the investigation is continuing. Unlike the EU, the FTC hasn't yet filed any charges against Google.

The Journal noted that the FTC might reach a different conclusion than the EU, given that European laws on competition "give antitrust enforcers more power to take action against dominant companies."

Google's Android platform also has greater influence in Europe, where Android is credited with 70 percent market share in the five largest EU countries. In the U.S., Android's share (according to Kantar Worldpanel) is closer to 59 percent.

The Journal also noted that U.S. laws would allow Google to excuse its behaviors if it could provide "legitimate business justifications."

In 2013, the FTC avoided any significant action when investigating Google's dominant position in Internet search, despite finding that Google's search research favored the company's own products and services.

And while FTC staffers recommended taking action to stop Google from harvesting content from its rivals, the company was allowed to simply volunteer to make minor changes to avoid any prosecution.

Apple does not face similar investigations over iOS because its software is only used on the company's own devices. Android, like Windows, is offered as a platform for others to use, but carries stipulations designed to benefit Google.

News Corp, which owns The Wall Street Journal filed a complaint against Google in Europe, charging that it "unfairly copies news publishers' content and makes it available in search results."

Google's response is that "Google News and Search send billions of clicks free to the websites of news publishers."

In 2013, Microsoft was fined 561 million Euros for not facilitating competitive access to alternative web browser options.



16 Comments

paul turner 9 Years · 222 comments

Oh boo, couldn't have happened to a nicer evil empire

leavingthebigg 11 Years · 1291 comments

Google spends a lot of money in Washington, D.C. to be convicted of abusive behavior. This investigation is a waste of U.S. taxpayer's money and time. This case will be neutered by politicians.

anantksundaram 18 Years · 20391 comments

But, but.... Google is open, and Apple is the evil walled-garden!!! Boo....

sflocal 16 Years · 6138 comments

Google's Android (botched) project is akin to the Microsoft anti-trust brouhaha in the early 2000's.   Wasn't there a contract with Google that disallowed manufacturers from putting out non-Android smartphones?   That just reeks of the same crap that Microsoft pulled with PC makers that were not allowed to sell PC's with other operating systems, or still having to pay a Windows license for every PC whether it was loaded or not.

Low lifes.

gatorguy 13 Years · 24627 comments

sflocal said:
Google's Android (botched) project is akin to the Microsoft anti-trust brouhaha in the early 2000's.   Wasn't there a contract with Google that disallowed manufacturers from putting out non-Android smartphones?
Low lifes.

Nope, you've confused things. The contract clause you might be thinking of has to do with OHA members selling both Google Android and forked Android handsets at the same time. If they want to sell Windows phones, Tizen phones or any other non-Android OS phones Google doesn't care with nothing in the contract that would get in the way of doing so. In fact some do just that, selling not only Google Android OS mobile devices but "other OS" mobile devices too.  

FWIW I personally think Google should drop the no-forking-Android clause too. It really serves no purpose now and is just more ammunition for the anti-Google crowd. If one of them wants to invest in creating another OS let 'em. IMO it shouldn't be Google's responsibility to make sure they work with Google Play tho if they do. But I think that's exactly what there's a behind-the-scenes push for. 

On a related note Getty Images has an issue with Google too. They don't like Image Search, or a least the quality of the search results. They're too good and in the opinion of Getty makes it too easy for IP thieves to be, well, thieves.  Expect that to be another "investigation" in the near future.