Thursday, April 7, 2011

Microsoft contributes grievance to European Union antitrust investigation of Google

Last fall Google found itself being investigated in an antitrust probe by European Union authorities. Smaller European web corporations, some owned by Microsoft, accused Google of shutting them out of search engine outcomes, as well as other anti-competitive techniques. On Thurs Microsoft stood behind some of its subsidiaries and filed its own complaint towards Google with the EU.

Google dealing with Microsoft complaint

Alleging that Google is limiting its access to critical data it needs to compete using YouTube and other Google services to the detriment of European customers, Microsoft filed a formal antitrust complaint in Europe against Google. The European Union Competitive Commission is doing an antitrust investigation towards Google already that Microsoft is now behind. Google controls about 95 percent of the Internet search market in Europe while Microsoft’s search engine, Bing, swims with the other minnows. There have, in the past, been a lot of antitrust complaints that Google has been used to dealing with about competition as it is Europe's center place for advertisers to go. After fighting antitrust investigations into Windows and billions in fines from the European Commission for years, Microsoft has reversed roles with its complaint towards Google.

Clear fights between Google and Bing

Microsoft’s European antitrust grievance towards Google is about background technologies such as “application programming interfaces” that unlock access to Google products and services. The Microsoft criticism states that Google makes it extremely hard for Bing and other search engines to have access to YouTube due to the application programming interfaces used. Google then becomes the primary search engine used. The Windows Phones cannot work with YouTube very well due to Google's programming, Microsoft suggests; which isn’t an issue on the iPhone or Android. Microsoft suspects that Windows Phones are getting the short shrift because of Bing because Apple doesn’t compete with Google in the search engine industry. The European Union antitrust is already looking into the idea that Google blocks advertisers needed for optimization which is another claim Microsoft has.

Google's chance to explain

Google can give its side of the story as EU Commissioner allowed. To be able to keep a consistency with Google ads, Google said the third-party software restraint is necessary. Advertisers are allowed to access any data that is available; there are no restraints. The stakes go up when Microsoft is involved though. Over $29 billion in 2010, or up to 10 percent of annual global revenues could be charged to Google has a fine. It could also be forced to change the way it does business in Europe. Before Microsoft threw its hat to the ring, the European Union commission said it would give Google a chance to stay away from a fine or conviction of wrongdoing by changing the way it does business in Europe.

Information from

Associated Press

finance.yahoo.com/news/Microsoft-throws-weight-apf-1337664829.html?x=0&sec=topStories&pos=6&asset=&ccode=

Los Angeles Times

latimesblogs.latimes.com/technology/2011/03/microsoft-files-european-antitrust-complaint-against-google.html

New York Times

nytimes.com/2011/04/01/technology/01google.html?src=busln



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