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European Commission to Fine Google for Pre-installing Play Store on Smartphones

It has happened earlier and it’s happening now. Google is accused of forcing phone’s manufacturers into pre-installing the Google Play Store on new phones. There is a 150-page document revealed by News Agency Reuters that showcases the European Commission is going to place some penalties on Google. Android, now a subsidiary of Alphabet is being accused of offering incentives to handsets makers to pre-install the Google Play Store with Google Search. Do make a note that company cannot punish or threaten smartphone manufacturers who don’t give into the Mountain View giant’s demands.

With such situation in the highlight, the regulators are now looking to prevent Google from forcing manufacturers to install its proprietary apps such as Google Maps. In case if doing such so prevents these handset makers from using competing operating systems based on Android. As per the statement from Reuters, it can be quoted that EC would demand Google to unbundle the Google Play Store from Android. It would allow makers to pre-install apps such as Bing Search, Outlook and Here Maps instead of Google Search, Gmail and Google Maps, while still including the Google Play Store on the smartphones.

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It is expected that Google would be fined a large amount as it has been anticompetitive since January 2011, according to the document that Reuters got their hands-on to read. The amount of penalty would be determined by the revenue generated by European Adwords clicks, Google Search product queries, app purchases, as well as in-app advertising.

As noted on the document, the amount of the fine would be sufficient to ensure deterrence. Currently, EC is seeking feedback from those companies that complained to the agency about this anticompetitive behavior of Google. On top of the accusations and fines, the Alphabet subsidiary might face a second charge of favoring the Google Play Store over the rival’s Application stores.

While Google has a released a statement saying, that they have designed Android model in a way which would be good for both competition and consumers. As well as it is noted that this model supports innovation across the region. The company is looking forward to showcasing the European Commission what they think of this accusation.

By PhoneRadar Bureau on Monday 3rd of Oct 2016


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