Google Inc (NASDAQ:GOOG) is prepping for their next big antitrust case. The company could face fines up $5 billion if found guilty.
The Competition Commission of India (CCI) is investigating the tech giant and Google Inc (NASDAQ:GOOG) remains in full cooperation. The Mountain View-based company reportedly took in an extra $49.3 billion average in the last three years’ worth of revenue. CCI could hit Google with a fine of 10% of the last three years’ annual average turnover if they find violation of fair trade. Some sources claim the director general collected third party comments in regard to this particular case. It’s likely to be submitted as a report to the CCI soon.
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A look inside this investigation
The research report pointed out, “The issues identified in respect of Google definitely raise doubt about the conduct of the Google Inc (NASDAQ:GOOG) and needs in- depth investigation to determine whether such practices relating to search engines and advertising search market are also being resorted to in India. This is because Indian market also has no. of vertical search engines which may be feeling the brunt.”
Several years ago, Consumer Unity and Trust Society International filed a complaint. That was followed by a complaint from Matrimony.com. It was this particular case that talked about the company’s abuse of power.
Google’s big issue
ZDNet explained, “Although Google settled actions in the U.S. and the EU, India’s antitrust law does not have a provision to allow companies to settle, The Times of India reports, which may mean offering concessions unlikely to appease the regulators. According to the New Delhi-based publication, the Director General has collected feedback from third-parties in order to build up a case for legal assault, and is “likely to soon submit” its report to the CCI.”
Google Inc (NASDAQ:GOOG) previously settled antitrust cases with the United States and European Union, but this particular case won’t be so easy to settle. There is no provision for a settlement process for the Indian competition regime and there are zero complaints that can be withdrawn from the fair trade watchdog.