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TECHNOLOGY Tuesday 25 July 2017
In Google vs. the EU, a $2.7B fine could just be the start
By RYAN NAKASHIMA Alphabet is still mulling an doesn’t change the way it
Technology Writer appeal of that ruling. But displays Google Shopping
SAN FRANCISCO (AP) — it could take years to get results in Europe by late
Google’s parent company a ruling at the Europe- September.
Alphabet can easily afford an Court of Justice. And “These things tend to hob-
the $2.7 billion write-down that case is only the first ble a company’s behavior
it’s taking to cover a big of several such investiga- even if there isn’t a deci-
antitrust fine in Europe. But tions that have embroiled sion,” says Jonathan Taplin,
it might find it harder to Google in Europe, a situa- a former professor at Uni-
shrug off the rest of the Eu- tion that raises uncertainty versity of Southern Califor-
ropean regulatory assault about its ability to operate nia and author of “Move
that’s headed its way. freely on the continent go- Fast and Break Things: How
In June, a European Com- ing forward. Google, Facebook and
mission ruling slapped Alphabet Inc. reported Amazon Have Cornered
down Google for abusing second-quarter earnings Culture and Undermined
its market dominance in were $3.52 billion, down Democracy.” ‘’I don’t think In this Monday, Feb. 1, 2016, file photo, electronic screens post
search by unfairly direct- 28 percent from $4.88 bil- it’s the end, I think it’s the the price of Alphabet stock at the Nasdaq MarketSite in New
ing visitors to its comparison lion a year earlier; that fig- beginning.” York.
shopping service, Google ure includes the effect of Google has offered to Associated Press
Shopping, to the detriment the $2.7 billion European make concessions on mul-
of its rivals. The regulators fine. Revenues rose 19 per- tiple occasions in an at- ward Google’s services — fines confusing, says Mark
not only imposed a huge cent to $20.9 billion after tempt to settle Europe’s its key source of revenue Ballard, head of research
fine, they also insisted that subtracting commissions it 7-year-old antitrust probe. from advertisers. for Merkle, an ad agen-
Google change the way paid out, up from $17.5 bil- But previous offers were That’s what makes the cur- cy that represents Gap,
it provides search results in lion. Google faces the pros- still considered to drive the rent negotiations over what Crate&Barrel and other big
Europe. pect of additional fines if it vast majority of clicks to- it can do to avoid further online ad spenders. q
Uber’s airport service
in Madrid under attack
In this photo taken on June 11, 2014, a taxi driver protests against
Uber during a 24 hour taxi strike in Madrid, Spain.
Associated Press
MADRID (AP) — The city of ros ($17-$34) from Madrid’s
Madrid has asked Spain’s airport to the city center.
anti-trust watchdog to in- The fare for taxis is set at
vestigate whether Uber’s 30 euros ($35). Taxi driv-
new airport transport ser- ers in Spain went on strike
vice violates fair compe- in March and May to pro-
tition laws. Uber, the San test what they say is unfair
Francisco-headquartered competition from Uber and
mobile ride-hailing service, the Madrid-based car ser-
offers rides from 15-29 eu- vice Cabify. q