The European Union which consists of 28 nations has slammed a massive $5 Billion fine against Google over the search giant’s Android operating system. The Google Android operating system has been the target of a long-running EU antitrust investigation. It powers the over 80% of the world’s smartphones and firmly rules the mobile world.
The fine comes just a year after Europe’s competition commissioner, Margrethe Vestager, also fined Google €2.4 billion ($2.8 billion) for favoring its own comparison-shopping service over those of its competitors—a fine it continues to appeal. The EU accused Google of taking advantage of the Android’s popularity to force device makers to install its search engine and the Google Chrome browser on phones, and to set Google Search as the default, as a condition for licensing some Google apps thereby cementing its dominant position and discouraging any competition.
Meanwhile Google CEO Sundar Pichai has denied the charges and vowed to appeal the decision by the EU. He also warned that the Android OS may no longer be free. If this happens, then phone makers will have to pay for licencing of the Android OS. Thus will inflate the price of smartphones in the market. But we don’t think it will come to that as he is planning to appeal the fine. This decision might be connected to President Donald Trump’s shock decision to impose tariffs on European steel and aluminium exports.