A PYMNTS Company

Australia: Google Refuses regulators call for scrutiny

By  |  March 6, 2019
Australia: Google Refuses regulators call for scrutiny

Alphabet’s Google has rejected calls by Australia’s competition regulator for tougher scrutiny of its operations, denying that it enjoys market power in online searches and advertising, documents published on Monday, March 4, showed. The global giant was responding to recommendations made late last year by the watchdog, such as increased scrutiny and a new regulatory body to monitor the dominance of tech giants in online advertising and news markets.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    “The preliminary report bases many of its recommendations on the mistaken premise that Google has market power in search, search advertising, and news media referrals,” Google wrote in a statement published by the regulator.

    “Google faces fierce competition from other providers, including vertical search sites like Amazon, Expedia, Domain and Carsales.com, many of which users access directly through mobile apps.”

    The regulator had claimed the enormous market power of firms such as Google, which has a 94% share of web searches in Australia, and their opaque methods for ranking advertisements, gave them the ability and incentive to favor their own businesses over advertisers. In preliminary recommendations that are subject to change, the Australian Competition and Consumer Commission (ACCC) also claimed the new regulator should have powers to investigate how the companies rank advertisements and news articles.

    Full Content: Reuters

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.