The EU Commission fines a multinational technology company for abuse of dominant position in the smartphone operating system sector (Google Android)

On 18 July 2018 the European Commission imposed a record fine of €4.34 billion on Google. In such an innovative and competitive industry, a decision and fine on this scale arguably sends the wrong message. This update questions whether intervention risks reducing innovation, raising prices and harming consumers. The key takeaways are as follows: * It is counterintuitive to define a narrow market for licensable mobile operating systems which excludes Apple and BlackBerry. The very existence of Android is evidence of the competitive pressure exerted by operating systems on each other. Since 2008, Google has delivered 14 major releases of Android. There have been year-on-year innovations, including swiping, security, cameras, fitness functions, facial recognition, multitasking gestures

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Authors

  • Baker McKenzie (London)
  • Baker McKenzie (Brussels)

Quotation

Fiona Carlin, Grant Murray, The EU Commission fines a multinational technology company for abuse of dominant position in the smartphone operating system sector (Google Android), 18 July 2018, e-Competitions Bulletin July 2018, Art. N° 87904

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