Patent wars are still raging in plenty of parts of the tech world, but today there’s something of a ceasefire between Google and Microsoft. Google has just filed with the ITC to stop attempts to prevent Microsoft from using certain compression techniques with the Xbox 360. More »
The Federal Trade Commission’s absolution of Google after a lengthy investigation into alleged abuse of market power induced expected reactions from the principle players. Microsoft was infuriated. Google was triumphant and exuberantly overstated the FTC’s exit. (“Google’s services are good for users and good for competition.”) Lawyers and lobbyists bunched on both sides of the fence to issue scathing or praiseful statements. The court of common opinion is now divided between nodding approval and eviscerating censure. The comment hate being hurled at Google is partly derived from general monopoly-busting sentiment, but there is also a stuck-in-the-past misunderstanding of what Google has become.
Continue reading Editorial: FTC and Google — why the right decision feels so wrong to so many people
Many critics both large and small have been vocal about the mere wrist slapping Google received after a lengthy antitrust probe by the FTC into its practices, which are said to be harmful to its competitors. The debacle has been called a failure on the agency’s part to protect the American consumer, among other things. As it turns out, however, the FTC was relentless in its investigation, but Google was just as relentless back.
At the core of the issue is whether Google’s practices harmed consumers, something that could not be proven over the course of the investigation. While it wasn’t denied that Google’s favoritism in Search for itself over competitors may be harmful to its competition, it was beneficial to consumers, and therein is the crux. Google hammered this point home to regulators relentlessly, it is said, via many trips to Washington by executives, lawyers, lobbyists, and more.
Said University of Iowa professor of antitrust law Herbert Hovenkamp: “The way [Google] managed to escape it is through a barrage of not only political officials but also academics aligned against doing very much in this particular case. The first sign of a bad antitrust case is lack of consumer harm, and there just was not any consumer harm emerging in this very long investigation.”
Among other things, Google argued that the nature of the industry meant that regulations would get in the way of its progression, and that what constitutes competition is always changing. An example it offered included Apple and Amazon, which it said shows the nature of how businesses in the industry can quickly shift into competitors. In addition, Google had Microsoft’s previous case to learn from, avoiding mistakes the aforementioned company made.
The FTC’s chairman Liebowitz offered this statement. “Some believe the commission should have done more in this case, perhaps because they are locked in a hand in hand combat with Google around the world. We really do follow the facts where they lead. The focus of our law is on protecting competition, not competitors.”
[via New York Times]
Google got off easy in antitrust case by pressuring regulators to relent is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.
The FTC’s reported closing of its Google search bias investigation, with no real enforceable settlement mechanism, and a special new self-enforcement antitrust precedent apparently only available to Google, raises serious questions about the integrity of the FTC’s law enforcement process and whether the FTC accords Google with special treatment not available to other companies. More »
Google’s drawn the ire of the Federal Trade Commission for myriad reasons over the past year, and so the FTC began a formal investigation into those transgressions. Today, Chairman Jon Leibowitz announced that the investigation has concluded with a settlement after the FTC found several issues with the way Big G does business. Head on past the break for a full rundown of the FTC’s findings.
Continue reading Google pledges to change its ways to assuage FTC anti-competitive concerns
Source: FTC, Google Official Blog
Google has settled with the FTC, avoiding antitrust penalties by agreeing to license standard-essential patents to rivals without threat of injunctions, and to remove restrictions on online advertising, though the concessions aren’t enough to placate activists. As part of the agreement, Google will be forced to license the standard-essential Motorola Mobility patents on FRAND (fair, reasonable, and non-discriminatory) terms to any rival that requests them, after fears that the search giant might use its acquired IP to bludgeon competitors with extortionate licensing fees else run the risk of expensive and limiting injunction proceedings.
“The Commission’s complaint alleges that Google reneged on its FRAND commitments and pursued – or threatened to pursue – injunctions against companies that need to use MMI’s standard-essential patents in their devices and were willing to license them on FRAND terms” the FTC said today, with Google basically losing the sting from its 24,000 patent/patent application grab of Motorola Mobility. The FTC’s fear was that Google’s increasing control over what are deemed essential elements of technology might curtail product evolution.
“Google has agreed to a Consent Order that prohibits it from seeking injunctions against a willing licensee, either in federal court or at the ITC, to block the use of any standard-essential patents that the company has previously committed to license on FRAND terms” FTC
As for advertising, Google has agreed to two key concessions in order to dismiss concerns that it was using its search heft to undercut other services. Google will now give its advertising customers greater access to the APIs that deliver feedback on ad campaign results.
Meanwhile, sites will be able to “opt out” of inclusion in Google services like Places, after companies like Yelp complained that Google was scraping their data and leaving web users no reason to visit their sites specifically. “Some FTC Commissioners were concerned that this conduct might chill firms’ incentives to innovate on the Internet” the commission said today.
“Google also has promised to provide all websites the option to keep their content out of Google’s vertical search offerings, while still having them appear in Google’s general, or “organic,” web search results” FTC
However, allegations that Google was prioritizing its own results above those of rivals, and manipulating search results to benefit itself, were dismissed. Rivals had argued that “Universal Search” was in effect making a virtual-walled garden where Google’s own services were promoted, but the FTC said that it believed the changes were more in keeping with Google refining its own products.
“According to the Commission statement, however, the FTC concluded that the introduction of Universal Search, as well as additional changes made to Google’s search algorithms – even those that may have had the effect of harming individual competitors – could be plausibly justified as innovations that improved Google’s product and the experience of its users. It therefore has chosen to close the investigation” FTC
Chatter of a voluntary agreement by Google broke late last year, with the company tipped to be more willing to make a “gentleman’s agreement” if it could avoid legislation and potential fines. ”The changes Google has agreed to make will ensure that consumers continue to reap the benefits of competition in the online marketplace and in the market for innovative wireless devices they enjoy,” FTC Chairman Jon Leibowitz said today. “This was an incredibly thorough and careful investigation by the Commission, and the outcome is a strong and enforceable set of agreements.”
“We’ve always accepted that with success comes regulatory scrutiny” Google said of the agreement. “But we’re pleased that the FTC and the other authorities that have looked at Google’s business practices … have concluded that we should be free to combine direct answers with web results. So we head into 2013 excited about our ability to innovate for the benefit of users everywhere.”
Unsurprisingly, though, activists aren’t quite so happy with the outcome. Fairsearch, the organization set up by Microsoft, Nokia, Yelp, and others to highlight the alleged Google antitrust behaviors, is yet to comment, but the American Consumer Institute Center for Citizen Research has already compared the search company to Lindsey Lohan:
“As Google’s dominance grows, consumers have become extremely concerned about the search giant’s control of the marketplace, entrance into new markets, and a seeming indifference to the protection of privacy and the law in general. Letting Google off with a letter promising not to do it again is like believing Lindsey Lohan will stay out of trouble this time. The FTC had a long list of grievances against Google to choose from when deciding if they unfairly used their dominance to crush their competitors yet they failed to use their authority for the betterment of the marketplace and to the advantage of consumers by declining to take action against the dominant company” American Consumer Institute Center
Google settles FTC antitrust with patent and advert limits is written by Chris Davies & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.
The FTC just announced a settlement with Google, which the commission had been investigating for illegal, anti-competitive behavior. And it’s mostly good news for everyone except Google: less patent warfare, less search engine bullying. More »
On December 19, we reported that, according to sources, the FTC was set to push its investigation of Google into early 2013. Originally, it was to be settled by the end of 2012, but a heap of criticism prompted an extension while the agency looked into additional penalties. Apparently they didn’t need much extra time, as sources are now stating that Google will settle the probe tomorrow.
According to Bloomberg, three individuals familiar with the proceeding have stated that Google will settle with the FTC on January 3 in its probe over practices that harm its competition. As has been stated for awhile, Google will settle with a consent decree and a voluntary agreement regarding its use of three patents to stymie its competition.
In addition, it is being said that the FTC also plans to close the probe into whether Google alters its search engine results in it own favor, giving itself preference over its competitors. Says the sources, Google will let advertisers export data and will alter its use of content from websites. Many critics have been vocal in their unhappiness with the FTC’s slap on the wrist response to the issues.
Earlier today, Microsoft’s Vice President Dave Heiner made a post criticizing the FTC’s lax response to the issues and lambasting Google for intentionally harming its competition. In the piece, Heiner claimed that Microsoft had recently received word that Google instructed YouTube not to “enable a first-class YouTube experience on Windows Phones.”
FairSearch.org issued this statement. “If the FTC fails to take decisive action to end Google’s anti-competitive practices, and locks itself out of any remedies to Google’s conduct that are offered in Europe later this month, the FTC will have acted prematurely and failed in its mission of protecting America’s consumers.”
[via Bloomberg]
Google reportedly to settle antitrust probe on January 3 is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.
Google has been in the news for quite some time over a variety of FTC investigations and issues concerning mobile, advertising, and search practices, with claims that it is deliberately harming its competition. Now Microsoft’s Vice President Dave Heiner has tossed his voice into the mix, posting a lengthy piece on TechNet that expresses concern over the slap on the wrist Google is poised to get from the FTC while claiming that the search engine giant is intentionally harming Windows Phone and its competition in general.
Heiner states that Google is still blocking Microsoft from offering Windows Phone users a full-feature mobile YouTube app, forcing it to offer a sub-par web-like option instead. Meanwhile, obviously, its own Android OS has a full-feature YouTube app (as well as iOS). Microsoft complained about this to both the FTC and the European Commission back in early 2011.
As Heiner points out, YouTube was one of the most downloaded apps last year. Things get interesting, however, when he claims that Google specifically instructed YouTube to prevent Windows Phone from having access to a full-feature app like Android and iOS. “But just last month we [at Microsoft] learned from YouTube that senior executives at Google told them not to enable a first-class YouTube experience on Windows Phones.”
Heiner then goes on to point out that Google is going to get out of the issue of harmful practices with little more than a slap on the wrist and a mumbled promise to stop. This comes after the FTC came under fire when reports began surfacing that it planned to let Google off so easily. In response, sources have claimed that the FTC will likely extend the investigation while it considers additional penalties it may institute. The European Commission, however, has taken a harsher stance in addressing the issue, and is presently working with Google to form a legal order for dealing with the concerns.
[via TechNet]
Microsoft slams Google, claims it is intentionally harming Windows Phone is written by Brittany Hillen & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.
For a lot of parents, having a selection of apps made specifically for children on hand is a godsend, as they give children something safe and perhaps educational to occupy their time with. We’re finding out today that some of these apps may not be safe as some think though, with the FTC now launching an investigation of a number of developers who make apps geared toward kids. The investigation is based on an FTC report that says app developers aren’t taking the security of children as seriously as they should.
For this report, the FTC studied 200 different apps that were aimed at children. The organization discovered that about 80% of the apps didn’t show a privacy policy either in the app or the developers’ websites, while 59% of the apps send information to either the developer or third-party advertising companies, potentially handing out information like location data or phone numbers. To make matters worse, 58% show advertising with only 15% of those apps actually saying that they’re ad supported.
In one case, an app showed advertisements for an online dating site that kids definitely have no business browsing. 22% of the apps contain links to social networking sites that parents probably don’t want their children visiting, while another 17% contained in-app purchases. We’ve heard many stories about children racking up major bills on their parents’ credit cards by going hog wild on in-app or otherwise digital purchases, so that’s a bit of an issue.
The FTC expects developers to get better at alerting parents to these things by the time its ready to do its next review, but in the meantime it will be investigating some app developers in particular. The agency didn’t say which developers it’s investigating, and it won’t disclose that information until a complaint is filed. We’ll have to wait and see how this whole thing plays out, so stay tuned.
[via ABC News]
FTC investigating app developers for suspected child privacy violations is written by Eric Abent & originally posted on SlashGear.
© 2005 – 2012, SlashGear. All right reserved.
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