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Business Daily

Google hit by competition lawsuit

Business Daily

BBC

News, Business

4.4796 Ratings

🗓️ 21 October 2020

⏱️ 19 minutes

🧾️ Download transcript

Summary

The US government has filed charges against Google, accusing the company of violating competition law to preserve its monopoly over internet searches and online advertising. As the Department of Justice sues the search engine google for being a monopoly, could all tech giants be under threat? We hear from Eric Schmidt, the former CEO of Google and Jack Poulsen, a software engineer and former Google employee. We also get the view of Sally Hubbard, a former New York anti-trust attorney and current director of enforcement strategy at the Open Markets Institute. (Pic of Google logo by Jakub Porzycki via Getty Images).

Transcript

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0:00.0

Hello there, I'm Ed Butler. Welcome to Business Daily from the BBC World Service. Today, the US Department of Justice is suing the search engine Google for being a monopoly. Could all tech giants be under threat?

0:15.5

This lawsuit would do nothing to help consumers. It would artificially prop up lower quality search alternatives,

0:22.6

raise phone prices and make it harder for people to get the search services they want to use.

0:28.1

Well, that's the response of Google itself, but some others are celebrating.

0:32.4

I think this case is really just getting at the tip of the iceberg, but it's an important first start.

0:38.0

I think the evidence is damning, and I don't think Google has a leg to stand on

0:41.7

and defending itself against these allegations.

0:44.3

The case against Google, that's Business Daily from the BBC.

0:51.2

To Google, for many of us, it's not just a noun, is it? It's a verb. The Western world's favourite search engine.

0:58.8

It has, in recent years, accounted for nearly 90% of all general search engine queries in the US,

1:05.0

and almost 95% of queries on mobile devices. Is that just because it's great at what it does, or has it used unfair, anti-competitive practices

1:15.0

to achieve that dominant status?

1:17.5

Here's some of what the U.S. Deputy Attorney General and Senior Advisor for Technology Industries

1:23.3

Ryan Shaw said in a Zoom call with reporters on Tuesday. Google has long been the gatekeeper to the

1:30.6

internet with monopolies in general search and search advertising. These are the cornerstones of its

1:36.7

trillion-dollar empire. Google unlawfully maintains these monopolies through a web of exclusionary

1:42.0

and interlocking agreements that shut out competitors.

1:45.0

For example, Google collectively pays mobile phone manufacturers, carriers, and web browsers

1:52.0

billions of dollars each year to be the preset default search engine.

1:56.0

This is by far the most effective way for a search engine to gain users, as most people simply use

2:01.6

this default. Google also has entered into tying and other arrangements requiring that

2:06.4

its search applications be featured on Android mobile phones and made undelatable, regardless

...

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