back to article Fork it! Google fined €4.34bn over Android, has 90 days to behave

What convinced the European Commission that it had a Microsoft-scale competition problem on its hands with Google isn't a mystery. Google engaged in a carbon copy of '90s Microsoft-style tactics. Google leveraged its platform dominance in Android to promote its own services and apps, at the expense of third-party services, the …

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      1. andy 103

        Re: Where does the fine go?

        "The point of the fine is not to compensate anybody for anything"

        Right, except the money still changes hands. Maybe the primary incentive of issuing the fine was therefore to gain 5 billion? But some people think it's all "for the good of the people". Call me cynical but I think the EU antitrust commision might have given far less of a shit if there was no money involved.

    1. Aristotles slow and dimwitted horse

      Re: Where does the fine go?

      It's all cyclical. The EU will give this money to poorer EU countries so they can invest in better communications infrastructure, so that the poor countries peoples can then spend their money on nice phones and devices so that they can consume more of the services offered by Google and Facechat and thus increase those companies earnings and profits etc.

      Some of it though might get spent on roads and surveillance and useless shit like that, or maybe some food subsidies for the Moldovan farmers.

    2. John Brown (no body) Silver badge

      Re: Where does the fine go?

      "Do the end users actually benefit in any way from this?"

      At the very least, phone manufactures can sell a choice of Android and non-Android phones, which quite possibly may increase the visibility and development of alternatives.

  1. Anonymous Coward
    Anonymous Coward

    Apple

    "She hinted that giving end users a choice in the OBE [out-of-the-box experience] and allowing operators to provide choices might also be effective." - so...how have Apple been able to keep on doing this on OSX (after Microsoft Windows decision with IE) and with iOS (Safari is the only browser preinstalled and there is NO other App store option).

    no-one is forced to buy Android phone. Its not a monopoly - there are other cheap, non android phones. there were even cheap Microsoft phones (but people didn't buy those, they preferred Android).

    This decision is out of touch with consumers. it feels very pro for certain other businesses though

    1. BoldMan

      Re: Apple

      Try reading the article, its not about forcing consumers but about forcing phone manufacturers

    2. ratfox
      Boffin

      Re: Apple

      It's not about forcing users to buy Android phones. It's about forcing phone makers who want to sell Android phones to include Google apps.

      You might say: Nobody would buy Android phones if they didn't contain Google apps! But if so, why does Google force phone makers to include them?

      1. David 164

        Re: Apple

        to stop the fragmentation of the Android brand. If manufactures don't want to use android they should go and do what google did and build their own OS.

        1. Anonymous Coward
          Anonymous Coward

          Re: Apple

          If manufactures don't want to use android they should go and do what google did and build their own OS.

          The problem they have with Google is leveraging their dominance in smartphone OSes to further their massive dominance in online search and advertising. What usually triggers these type of actions (especially in the EU which is more aggressive policing it than the US) is that sort of leveraging. Just having a dominant market share isn't a problem if you aren't using it to control other markets.

        2. Orv Silver badge

          Re: Apple

          If manufactures don't want to use android they should go and do what google did and build their own OS.

          Ah, but there's the rub. If they start selling their own OS, they lose access to Google Play services for any Android phones they're continuing to sell. So they have to give up an OS that has >80% market share before they even try to get their own OS off the ground. This had a lot to do with Firefox OS and FireOS dying off. No phone manufacturer could afford to sell phones loaded with those OS's, because they'd effectively lose the ability to sell Android phones.

          1. Charles 9

            Re: Apple

            Amazon got away with not using Google Play Services, why can't the other manufacturers cobble their own version? Or do like Blackberry did and make a compatibility layer?

      2. onefang

        Re: Apple

        "Nobody would buy Android phones if they didn't contain Google apps!"

        I would. Though I would have some trouble with the lack of an open source Google Daydream replacement, at least until I can get around to writing one.

        1. DropBear
          Facepalm

          Re: Apple

          Any kind of VR-related issue, especially if it involves Android, is a veritable dog's dinner these days. Nobody is interested in anything beyond being able to claim that their stuff supports Oculus and Vive, especially if it would involve any actual work. There is no way to convince any developer to even just simply integrate _existing_ engine support for plain side-by-side 3D support which then you could view whichever way your ersatz-cardboard allows you; absolutely nobody is interested in the tiniest of gestures if it's not about the OR or Vive. Did you know that the Unreal 4 engine includes SBS-3D support built in out of the box that can be enabled via a simple command line parameter without ever even involving the developer - and that it still displays the left and right images _reversed_ in spite of multiple several year old bug reports...? Yeah, there's VR hype for you... nurse! ...NURSE!!!

    3. Orv Silver badge

      Re: Apple

      ...how have Apple been able to keep on doing this on OSX (after Microsoft Windows decision with IE) and with iOS (Safari is the only browser preinstalled and there is NO other App store option).

      Apple does not have a monopoly share of the market, and never has. They may have a monopoly on iPhones, but >80% of the smartphone market is Android. Before Android took off they were in third place behind RIM and Symbian.

  2. naive

    First time someone gets fined for giving something for free

    Cost of Android $ 0.00 / A reasonable Android phone starts at around $ 250

    Cost of the only viable alternative to Android: $ 700 - $ 1000

    Is that Googles fault, or a market that does not work well ?.

    It is sad to see that the first company improving the life of ordinary people in ways only matched by the Ford Motor Company when they started mass producing the T-Ford, gets fined by a bunch of greedy unelected clerks. Without Google we still would live in a 90's hell of .NET dominated internet sites and browsers refusing to render non .NET sites.

    1. DavCrav

      Re: First time someone gets fined for giving something for free

      "Is that Googles fault, or a market that does not work well ?."

      From the article:

      "But by making even one FireOS phone, the OEM would have lost the ability to include Google Play Store on its other devices."

      It's Google's fault.

      1. Patrician

        Re: First time someone gets fined for giving something for free

        Amazon don't install Google Play Services on their FireOS devices; I have a FireHD 8 and had to sideload the Google Play Services with the tablet in "Development Mode".

    2. Anonymous Coward
      Anonymous Coward

      "Without Google we still would live in a 90's hell of .NET dominated internet sites"

      And what opened the way to Google if not the EU ruling (and the DOJ investigation as well) about IE forcing not only MS to advertising competitive browser, but also forcing it to rethink the company culture and become much more cautious about trying to abuse their dominant position?

      Just Google adopted the same strategy twenty years later - greed is greed, whatever your logo is.

      1. David 164

        Re: "Without Google we still would live in a 90's hell of .NET dominated internet sites"

        So it greedy to provide a free OS to all the manufactures. All the manufactures have to do promise is not to remove any of Google own apps and not support copycats of the OS under a different name.

        That doesn't sound greedy to me at all, in fact it sound like a fair deal to me.

        1. Anonymous Coward
          Anonymous Coward

          "really it greedy to provide a free OS"

          Think, Microsoft offered a free browser and a free media player... when you had to pay for them. The OS was heavily discounted for abiding OEMs. Also, it guaranteed excellent interoperability among all MS systems, applications and data formats, as long as you used its own applications...

          So, MS wasn't greedy too?

          But it looks for many today Google Kool-aid has a better taste than MS one - still, both are poisoned...

          1. Patrician

            Re: "really it greedy to provide a free OS"

            There is a slight difference between MS operating system and Android; End users paid for that Microsoft OS, Android is provided free of charge.

            1. Anonymous Coward
              Anonymous Coward

              Re: "really it greedy to provide a free OS"

              You pay for Android, by letting Google take your data when you use your phone, use Google Search, etc. Don't act like Google is developing Android out of the kindness of their heart.

              1. Daggerchild Silver badge
                Big Brother

                Re: "really it greedy to provide a free OS"

                "Don't act like Google is developing Android out of the kindness of their heart."

                You are going to LOVE what the manufacturers will do when their powers aren't bound by Google's contract. All those horrible decisions about what search engine you use, and what apps you use, and who gets your data, they will all be made for you.

                Yeah, there's quite a few things bound by that demonic seal the manufacturers want smashed... Enjoy!

                1. Anonymous Coward
                  Anonymous Coward

                  Re: "really it greedy to provide a free OS"

                  So then you wouldn't buy phones from an OEM that modified Android to force you to Bing and prevents installing Google Search, makes you use a version of Mapquest from 1999 and takes your data and sells it to the mob.

                  There'd be other OEMs that would default search to Bing because Microsoft pays them but allow you to switch that to Google or DuckDuckGo if you wish, and offer an option where you pay a little more in exchange for a promise not to collect any of your data.

      2. Dan 55 Silver badge

        Re: "Without Google we still would live in a 90's hell of .NET dominated internet sites"

        No, in the time in between Firefox's launch and Chrome being pushed everywhere by the Google juggernaut (Search, antivirus programs, Flash, etc...), Firefox gained 30%+ market share, perfectly good enough to force a change away from closed to HTML-based formats.

    3. eldakka

      Re: First time someone gets fined for giving something for free

      > First time someone gets fined for giving something for free

      1) it's not free;

      2) it comes with a long complex license with many strings attached.

      So nothing is 'given', and nothing is 'free' about Android for handset makers.

  3. Jamtea

    More money for the EU coffers then

    You just know this money will be spent wisely on behalf of everyone in the EU. I'm sure that'll pay for a lot of Brussels dinners, socialising and holiday homes.

  4. MooseMonkey

    If they pay that....

    .... I'll eat my hamster

  5. Sean o' bhaile na gleann

    I may be missing something here, but what, in practical terms, could the Competition Commission do if Google said 'No'. Not going to argue… not going to appeal... just 'No, not going to pay'.

    1. pɹɐʍoɔ snoɯʎuouɐ

      but what, in practical terms, could the Competition Commission do if Google said 'No'. Not going to argue… not going to appeal... just 'No, not going to pay'.

      I presume the EU could ban the sale of google/alphabet products in the EU

    2. I ain't Spartacus Gold badge

      If Google don't pay then I guess the EU could try to sieze the bits of Google that are in Europe and sell their assets to pay the fine. Or start arresting their executives whenever they fly through European airspace. Or stop EU companies from paying them.

      If Google want to operate in the EU, and they do because they make profits there, then they'll have to pay up.

      Also Google get away with being massive privacy thieves and data-hoarders through inertia. They're useful, and it's a lot of hassle to regulat them. But if they tried to pull a stunt like that, the gloves would come off pretty quickly.

      1. Richard 12 Silver badge

        Google make roughly 1/3 of their revenue in the EU.

        The EU is a far bigger market than the USA. Something that many US people tend to forget.

        1. Charles 9

          But if the EU turn up the heat, the cost of compliance may become more than the revenues they make over there. After all, Google pulled out of China, and that's a huge market in itself.

          1. I ain't Spartacus Gold badge

            Google pulled out of China, but when it was a much smaller consumer market than it now is. And then slunk back in later, to not a huge amount of success. But GDP per capita in China is probably a third of what it is in Europe - so despite having fewer people, Europe is still richer - and has more dispoable income for fripperies who might pay Google for advertising.

            Also, when you're a monopolist (and Google are) then you need to maintain your monopoly in order to abuse it to make monopolistic profits. As soon as Google pulls out of one of the biggest markets in the world, they torpedo their own monopoly - and create a space where a rival can build up.

            Google won't leave the EU market.

  6. LeahroyNake

    Margrethe Vestager

    Would buy them a nice bottle of whatever they like drinking if they keep up with these fines....

    As long as it's available in a supermarket. I'm guessing they like bottles priced at more than £20 each

    1. Teiwaz

      Re: Margrethe Vestager

      As long as it's available in a supermarket. I'm guessing they like bottles priced at more than £20 each

      Well, buying plonk in £ isn't a great idea, buy it somewhere in Europe where fermented vegetable drinks are cheaper.

  7. Helen Highwater

    Morons

    Hopefully, for the EU, this is the equivalent of Hitler's June 22nd 1941 (the day that war was declared on Russia and the straw that eventually helped to break the came;'s back)

    Google needs to geo-block Europe (wuthout warning) for 48 hours, the politburo Bully Boys would crap themselves.

    1. I ain't Spartacus Gold badge

      Re: Morons

      Nah. Google are dead useful. But not irreplaceable.

      It's business. They get fined, they pay the fine, they change behaviour as little as they think they can get away with and they keep making money. The EU can do this, because people make profits there.

    2. Orv Silver badge

      Re: Morons

      The thing is, Google needs the EU more than the EU needs Google. You can't just cut off the second-largest economy in the world and expect to make it as a publicly-traded company; investors would revolt instantly. Heck, China is only the third largest and Google bends over backwards to meet their demands.

      1. Charles 9

        Re: Morons

        Since when? I recall Google pulled out of China.

        1. Anonymous Coward
          Anonymous Coward

          "Since when? I recall Google pulled out of China"

          For Google, Chine is a difficult market - Baidu there achieve the same market share Google has in the West. Still Google didn't pull out of China - it just moved to Hong Kong...

          There's been spat between Google and the China government - Google products obviously overlap China censorship needs much more than others, but still, Google can't ignore China as well, and who's making a lot of cheap Android phones?

          1. Charles 9

            Re: "Since when? I recall Google pulled out of China"

            Most of them without GPS IIRC?

            1. Orv Silver badge

              Re: "Since when? I recall Google pulled out of China"

              The two Chinese-made phones I've had had GPS capability, although it's possible that's an export market thing. I've observed my current ZTE phone locking on to GPS, GLONASS, and BEIDOU.

              1. Charles 9

                Re: "Since when? I recall Google pulled out of China"

                I meant Google Play Services. I recall most of them use Baidu or similar.

                1. Orv Silver badge

                  Re: "Since when? I recall Google pulled out of China"

                  Ah, my bad. It was a TLA collision but I should have been able to gather that from context.

    3. Dan 55 Silver badge

      Re: Morons

      Thank you for your second ever post to El Reg, on the EU. I missed your first post to El Reg a month ago, also about the EU.

  8. andy 103

    I wonder how many people would (vs wouldn't) just go ahead and install Google services on a phone if they didn't come pre-installed.

    My guess is that more would than wouldn't. By a seriously long way.

    Want to use a different search engine other than Google? Fair enough. But most people use Google. Not because Google have told them to, but because it's, you know, the best one. See also Google Docs - what's the better/free alternative to that with equivalent functionality? Fancy driving round the whole world in your car to take Street View photos for your rival of Google Maps? All the best...

    1. Oddlegs

      I suspect you're right but the point is that with these lockins no one else stands a chance. If I develop a search engine that's 10x better than Google's no one's ever going to know about it because Google are paying the manufacturer's to use their own, quite obviously supressing competition.

      You specifically mention search and maps, two areas where Google are justifiably market leaders. They also have an awful lot of other tools which, at best, are distinctly average but they gain an unfair leg up by being bundled with the rest.

    2. Teiwaz

      My guess is that more would than wouldn't. By a seriously long way.

      I daresay they would. The easy functionality is a strong inducement, even if you are aware of the slurp and tracking, even the feeling of your lifeforce being constantly drained by the knowledge of the slow drip of your personal data and activities syphoned off to feed the Google beast is not enough for many users.

      But having the choice not to, if your don't need or don't want the thing leeching at your life is much better.

      There are other satnavs, and openstreetmaps (is that still about, I lose track) could do with the attention. One Google fan (or even one Google van) certainly didn't make Street View the rich resource it is.

      1. onefang

        "and openstreetmaps (is that still about, I lose track)"

        Yep, it's still around. I use it instead of Google Maps.

        1. DropBear

          "I use it instead of Google Maps."

          Same. And not just on Android. There is desktop software like Geosetter which works with it just fine...

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