The decision by European Union (EU) regulators to slap a $5 billion (Dh18.39 billion) fine on Google and impose various operational changes for abusing the dominance of its Android mobile operating system is yet another praiseworthy step by the EU to stand up for the protection of consumers in a free market.
The Android case is one of three lodged against Google by European antitrust regulators. Last year, the commission fined Alphabet around $2.7 billion for abusing its dominance as a search engine to favour its own comparison shopping service. The commission is also probing restrictions placed by Google on websites displaying search ads from its rivals. Many analysts have been quick to point out that a fine of $5 billion for a behemoth like Google is too little too late. The company has already decided to appeal the ruling and even if it loses, this sum and the related penalties are hardly going to change the business ethics of Google or its disproportionate dominance of markets.
The EU and the United States have always led the way in investigating anti-competitive measures of tech companies and protecting the rights of consumers, companies and industries affected by such practices. Recall the historic ruling in 1998 by US regulators against Microsoft — then in a very similar market-dominating position as Google now. In that case over the bundling of Internet Explorer in Windows, Bill Gates was called to testify.
Things seem to have come a full circle in these 20 years.
Regulators therefore need to step up not only their vigilance of antitrust and anti-competition activities by the technology giants, but also impose exemplary penalties when they are convinced about their abuse of the platform or markets. Further, they need to create clearer concepts of how a fair platform economy should look like and find appropriate long-term regulation, instead of getting involved in protracted legal battles and short-term fixes and fines. This will ensure that consumers are able to genuinely reap the rewards of technological progress with a product of their choice at lower prices, while businesses are able to flourish without being hinged to particular platforms. Advocacy groups need to create more awareness about monopolistic and abusive practices by tech giants such as Google, Apple, Microsoft and Facebook, which are often disguised as benefitting the end user.
Finally, the tech behemoths must also understand the inherent irony of selling to their consumers the dream of an emancipated life facilitated by technology, when the companies themselves are seen to be blocking the path to a free market economy.
