In today’s press conference, Margrethe Vestager, the European Union’s commissioner, will sketch Google’s prevailing position in the search market, to allege the technology firm is using its position to direct search traffic to its own business advantage, like Google Shopping.
Google of course firmly denies the accusation.
First alleged in 2010, Google wanted to resolve the issue by offering remedies on how a search result is ordered. It has witnessed how Microsoft had been delayed in warfare struggle with the E.U. on how its products were “bundled”, and ended up with a £1.5 billion fine nonetheless.
Google’s pitch was to make it link more prominent to rival services.
But due to critics within European governments and other media and technology businesses, each attempt botched.
ICOMP, the technology campaign organization said, “A statement of objections represents a formal finding by the Commission that Google is dominant and that its actions have caused harm to businesses and consumers in Europe. If confirmed, this is an important step towards a successful return to a fair and competitive online marketplace that will be welcomed by our members.”
Predictably, Google does not agree.
Google says that “with competition just a click away”, the concept of supremacy in technology markets differs from dominance in the energy market, for example.
The use of other search engines, Bing and DuckDuckGo and other social media daises Facebook and Twitter is easier for consumers.
Search has changed extremely in the past few years, as it in not the essential powerhouse of commercial success the way it used to be.
Google says seven out of every eight minutes is spent on mobile apps, which render mobile search a less important function.
This is a threat to Google’s business model as consumers utilize mobile as their digital point of entry choice.
In shopping, Google says that eBay and Amazon are much powerful sites compared to Google Shopping, for instance.
Though Google admits its dominance in search, with 90% of market share across Europe.
Google says that is because they offers the best service which has more relevance for the consumers, who performs three billion searches per day.
Detractors say it has used its position to twist the market to its advantage.
ICOMP, not a Google fan and Microsoft is one of its staunch supporters, says about the threat, “Google stands accused of manipulating its search results to systematically favor its own services and demote or exclude those of its rivals, thereby diverting vast quantities of traffic and revenues away from competitors and to its own growing stable of competing services.”
It says that Google has “all but eradicated” the price comparison web market and is embarking on a similar course on travel search and financial price comparison.”