Google fined millions for exclusive search deals

Australia’s Federal Court has ordered Google Asia Pacific to pay AUD55 million ($36.1 million) after finding it cut anti-competitive deals with Telstra and Optus to exclusively pre-install Google Search on Android smartphones.

The Australian Competition and Consumer Commission (ACCC) said Google admitted the arrangements likely reduced competition. The deals, which ran from December 2019 to March 2021, required the operators to pre-load Google Search and share in the advertising revenue generated when customers used the service. ACCC deputy chair Mick Keogh said the penalty shows there are serious financial consequences for anti-competitive conduct. Google has agreed to strip certain pre-installation and default search restrictions from its Android contracts, and Telstra, Optus and TPG Telecom have committed not to sign new exclusive search default deals, opening the door to more search options for Australian users.