Google said that the deal with Android phone manufacturers set an antitrust fine of 4.3 billion euros (approximately 37,230 crore), which promoted competition, and rejected the EU’s allegations, which is a carrot to stifle competitors. Increase the stick strategy.
Google spoke on the second day of the week-long hearing as it tried to get the European Second High Court to revoke the fine and the European Commission’s order to relax its search engine control on Android devices.
Google’s lawyers and EU competition executives clashed over the company’s Mobile Application Distribution Agreement (MADA), which requires mobile phone manufacturers (OEMs) to pre-install Google search applications and Chrome browser applications in exchange for free use of Google Play license.
Google’s lawyer Alfonso Lamadrid told the ordinary courts: “This licensing model attracts OEMs to use the Android platform and enables these OEMs to provide consistent and High-quality user experience.”
“People use Google because they choose to do it, not because they are forced to do it,” he said.
Commission lawyer Carlos Ulaka Cavides refuted this argument, saying that these transactions and other restrictions were Google’s carrot-and-stick policy on mobile phone manufacturers.
“These help Google ensure that its competitors do not reach a critical mass that challenges its dominance,” he told the court.
He also said that given the market power of the world’s most popular Internet search engine Google and its large number of users, such transactions are unnecessary.
Urraca Caviedes stated that what Google has done is “beyond the necessary scope for developing and maintaining the Android platform.”
There may be a verdict next year. The case is T-604/18 Google vs European Commission.
© Thomson Reuters 2021