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UPDATED 23:04 EDT / APRIL 20 2016

NEWS

EU issues please explain to Google over allegations Android licensing breaches antitrust law

The European Union (EU) has sent Google a formal “Statement of Objections” that outlines a case that they believe the search giant has breached EU antitrust law over the way they distribute the Android mobile operating system.

In the complaint, the European Commission (the executive body of the EU) claims that Google is abusing its position as the dominant operating system by insisting that Google Search is pre-installed and set as the default, or exclusive search service on most Android devices sold within its borders; they further claim that this practice closes off ways for rival search engines to access the market.

That particular part of the complaint relates to Google’s licensing terms for a number of its own proprietary apps such as Gmail and Google Maps, wherein Google will only allow manufacturers to offer Google’s apps if they have the Chrome browser and Google search installed on the device.

The complaint also alleges that Google stifles competition by not allowing device manufacturers to install a competing Android-based operating system on the device if they wish to have access to Google apps, a requirement that is meant to prevent fragmentation in the Android ecosystem.

Last but not least the Commission bizarrely claims that Google paying incentives to device manufacturers and mobile network operators to pre-install Google Search reduces “the incentives of manufacturers and mobile network operators to pre-install competing search services on the devices they market.”

“A competitive mobile internet sector is increasingly important for consumers and businesses in Europe,” Commissioner Margrethe Vestager said in a statement. “Based on our investigation thus far, we believe that Google’s behavior denies consumers a wider choice of mobile apps and services and stands in the way of innovation by other players, in breach of EU antitrust rules. These rules apply to all companies active in Europe. Google now has the opportunity to reply to the Commission’s concerns.”

Response

So far Google has not issued a full response, however, Google’s Senior Vice-President and General Counsel Kent Walker told The Washington Post that “Android has helped foster a remarkable and, importantly, sustainable ecosystem, based on open-source software and open innovation. We look forward to working with the European Commission.”

While the action by the European Commission does sound odd, it should be noted that while U.S. antitrust laws focuses more on harm to the consumer, EU antitrust law is more interested in preventing market domination irrespective of whether that domination is beneficial to the consumer or not.

There may be some argument that Google’s strict licensing terms for its apps maybe anti-competitive, but likewise there is absolutely nothing stopping manufacturers from installing alternative apps on their handsets now, and indeed in the case of forked versions of Android it’s completely feasible, and you need to look no further that Amazon.com, Inc.’s Kindle Fire devices to see how it is possible.

For Android users though Google’s attempts to stop serious fragmentation through incentives such as a licensing are actually a good thing as the end result is that, custom skinning aside, when you pick up an Android device from any manufacturer you know what you are going to get.

Google has been given 12 weeks by the EU to formally reply to the charges.

Image credit: tiseb/Flickr/CC by 2.0

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