Google admits anti-competitive conduct involving Google Search in Australia
6 days ago
- #Competition
- #ACCC
- The ACCC has commenced Federal Court proceedings against Google Asia Pacific for anti-competitive understandings with Telstra and Optus regarding pre-installation of Google Search on Android phones.
- Google admitted liability and agreed to a $55 million penalty, pending court approval.
- The understandings (Dec 2019 - Mar 2021) required Telstra and Optus to exclusively pre-install Google Search on Android phones, in exchange for ad revenue share.
- Google admitted these arrangements likely lessened competition.
- Google and Google LLC signed a court-enforceable undertaking to remove pre-installation and default search engine restrictions in contracts with manufacturers and telcos.
- Telstra, Optus, and TPG provided similar undertakings in 2024, allowing greater search choice and competition.
- The ACCC emphasized the importance of competition, especially with emerging AI search tools.
- The case follows an ACCC investigation from the Digital Platform Services Inquiry, which recommended regulatory changes to promote competition in digital services.
- Google Asia Pacific admitted contraventions of the Competition and Consumer Act 2010 (CCA) regarding revenue share agreements with Telstra and Optus.