In 2018, Google obtained the greatest penalty from the EU. In March 2019, he obtained one more one.
Google obtained a penalty of virtually 1.5 billion euros. Margrethe Vestager, EU antitrust commissioner, stated Google’s online titan abused its leading placement.
“Google has actually reinforced its leading setting in marketing pertaining to on-line searches and also has actually secured itself from affordable stress by enforcing anti-competitive legal limitations on third-party sites. This is unlawful from the perspective of the European Union’s antitrust guidelines. Violent habits lasted over 10 years as well as stopped various other business from contending on value and also introducing. ”
Just how Google acted and also abused the leading setting
The concern that the EU has actually currently connected to is incorporated search in websites – whether blog sites or collectors or magazines. When you make use of the search, with this alternative, the website supplies both search results page and also ad-related advertisements. These are presented together with the outcome.
Most likely it has actually taken place to you lot of times as well as you have actually not recognized why. Well, Google made use of a much better setting for its advertisements.
Hence, via AdSense for Search, Google is presenting advertising and marketing advertisements connected with the look for author website proprietors. Google is an intermediary, the matching of a marketer, in between marketers as well as website proprietors that wish to make the most of the vacuum on the search results page web pages.
AdSense for Search for that reason works as a marketing arbitration system connected with on the internet searches.
With independently discussed contracts, the business has actually given advertising and marketing broker agent solutions connected with on-line look for one of the most vital business authors. During its examination, the Commission took a look at thousands of such contracts as well as located the following:
Because 2006, he has actually consisted of exclusivity stipulations in his agreements. This indicated that authors were prohibited to position on their search results page web pages any type of advertisement advertisements related to rivals’ on the internet searches.
Because March 2009, it has actually slowly started to change the exclusivity stipulations with the supposed Premium Placement conditions. This needs authors to schedule one of the most rewarding room on their search results page web pages for Google’s advertisements, as well as to consist of on their websites a minimal variety of Google advertisement advertisements. Rivals have actually been stopped from putting their marketing advertisements related to searches in one of the most noticeable as well as available areas of the website search results page web pages.
Considering that March 2009, it has actually likewise consisted of stipulations calling for authors to demand created authorization from Google prior to customizing just how rivals’ advertisement advertisements were shown. This indicated that it was feasible to manage just how eye-catching and also consequently exactly how obtainable the ads of its rivals were.
What is the penalty for Google
The great used by Google to Google is EUR 1,494,459,000. That’s 1.29% of Google’s turn over in 2018. The quantity is excellent since it considers the period and also gravity of the offense.
The verdict of the March 20th choice is that Google has a leading setting in the marketing arbitration market connected with on the internet searches in the EEA at the very least because 2006. This is mostly based upon Google’s really high market shares, which surpass 85% for the biggest component of the duration.
The marketplace is additionally identified by the presence of essential obstacles to market entrance. These consist of extremely substantial first and also continuous financial investments needed to create and also preserve basic search innovation, a search marketing system, and also a completely huge profile of authors as well as marketers.
Google has actually abused this leading placement on the marketplace. It has actually avoided its competitors from contending in the advertising and marketing arbitration market related to on-line searches.
The number of penalties Google has actually paid up until now
In June 2017, the Commission fined the firm with 2.42 billion euros for having actually abused the leading setting of its online search engine. This offered an illegal benefit to Google’s prices solution.
In July 2018, the Commission fined the United States firm with 4.34 billion euros for prohibited techniques connected to mobile phones utilizing the Android os. To put it simply, the business provided accessibility to the Play Store just in terms bargained with phone makers. You woke up with a lot of preinstalled applications on your phone.