Google to pay $60M for misleading representations
accc.gov.au
accc.gov.au
Still wait for Google to be punished for abusing it market position to push its browser in a much worse manner than Microsoft pushed IE back in the days.
For those who are new to this game: Microsoft was basically punished for bundling a browser with their operating system.
If that was punishable (and thankfully it was), what should we say about the worlds largest advertising company pushing their browser in ad spots so valuable that no others were ever allowed to touch them (the otherwise clean front page of Google)?
And of course: with its current behavior, MS should of course be punished again for its abusive use of a dominant position when it tries to stop people from downloading other browsers and tries to prevent people from setting other browsers as default.
That seems about as simple as one could make it. Is your concern that it didn't change every extension to whichever browser you made the default?
But it should probably be looked into the moment the Chrome monopoly is dealt with.
This is the tricky bit about monopoly breaking... The lack of consistent legal philosophy on what constitutes "monopoly" can be a real problem for fair competition (which translates to more costs and worse product for everyone, as companies shadow-box law hypotheticals rather than just make good product).
Nobody is saying that Apple's behavior is overall good, just pointing out that Apple's bad behavior just so happens to be keeping someone else's bad behavior in check.
As a web developer iOS is the most infuriating platform at the moment for me. There are some random nonstandard features. Just this last month I had an issue with ios "low power mode" causing webkit to throttle all browser animation frame requests by half, with no way to override or even check if it is on. There are open complaints and issues about this going back years but nobody can change it without Apple's blessing, which they don't give, so it affects every browser on iOS with no recourse.
I have had tons of iphone browser specific issues and I am pretty sure their platform monopoly is a big part of why they go ages without being addressed. If there was real competition on the ios browser market they might push each other to do better by comparison.
Safari has no pressure to change because it literally can't, Apple WebKit is the ONLY rendering engine on iOS.
But for Apple's love of avoiding standards, you won't usually find people who care or who are concerned about it until it actually gets in your way (your issue for example), for the most part nobody cares about USB-C not being universal for iPhones as I'm the 14-24 demographic in the US and everyone sees USB-C as the "Android" charger or even funnier the "vape" charger, and they see Lightning port as the only phone charger ever made (I genuinely had to remind my sister that 40-pin is a thing), and for example that's all I can talk on because none of the other things have genuinely got in my way (mainly because my only Apple products are over 10 years old).
Tell me when did Google stop sending my every single keystroke to Googleplex?
And when did it stop eating all my RAM?
Google is closer to Firefox than before, but mostly because of Mozilla :-/
Do you notice that at no time before or after the DOJ case there was never a time that MS stopped bundling IE with Windows?
Maybe if they didn't restructure their organizations so as to avoid taxes in all but the lowest tax jurisdictions, they wouldn't be fined by places where they actually make the money.
How is this not different from how a mafia operates?
Governments represent public. Sure. But they are slaves to other corporations
https://reason.com/2021/02/18/everybodys-wrong-about-the-fac...
Regulatory capture is also a problem. I prefer governments with less corruption, debilitating fines, companies less powerful than nation states, and robust antitrust enforcement to maintain healthy competition.
So to be clear, these fines aren't legitimate but instead are backdoor taxes meant to compensate for the government's inability to capture the taxes they've established? Is that your position here? And you're insinuating this is a good thing?
I don't have a problem with governments resorting to tactics like this in order to get market participants to pay their fair share. But then, I'm not a billionaire and never will be so it aint ever gonna affect me.
Both tech companies and governments are doing what they are doing because they can.
What? Says who? It's just a number that the ACCC and Google both agreed upon. FTA: The ACCC and Google jointly submitted to the Court that a penalty of $60 million against Google LLC was appropriate, and that no separate penalty against Google Australia Pty Ltd was necessary, in circumstances where the Australian company was not responsible for the preparation of the screens which the Court found were misleading.
Both groups agreed on it being fully aware of Google's revenue, and if Google had the revenue of an average company it's likely neither side would have suggested the amount. Somewhat revenue based.
It says absolutely nothing of the sort in the article. Seems like yet another assumption you are making.
By the same logic, both groups are fully aware that Google starts with the letter G, therefore the size of the fine is based on the fact that Google starts with the letter G.
I'm really not trying to be an asshole here, but please don't go around saying things that you don't know to be true.
Google's revenue is public knowledge, surely the ACCC is capable of using a search engine to find it.
>but please don't go around saying things that you don't know to be true.
I can't prove it, or perhaps I could if the ACCC has fined others for the same offense, but even without proof I'm not making an extraordinary claim. If a local delivery place had two separate toggles needed to stop them from tracking your order history, they'd be guilty of the same thing yet people would find a $60M fine ridiculous.
The fines are a much bigger deal for companies with lower profit margins - Amazon had ~€470 billion in revenue in 2021, and only ~€8 billion in profits. The maximum fine Amazon could receive is ~€18.8 billion - more than two years of profits. A single severe violation potentially putting them in the red for 2 years is a pretty strong penalty.
[Thank you Euro-Dollar parity for making these computations effortless]
Like who? Since 2019, Android and iOS control <99.7% of the market in Australia.
https://www.statista.com/statistics/245191/market-share-of-m...
Noam Chomsky would probably agree as he says large companies love regulation because it locks out competitors.
It's about time Big Tech caught up to what the rest of what large corporations in America do. Gotta start paying off those politicians and drafting regulation to lock out all those pesky startups.
It's supposed to be a compensation for damages to the consumers, but are the consumers ever getting any money from the fine ?
(It's worth noting that while Australia does have class actions for collecting compensation, here civil cases can never collect punitive damages so it's probably hard to extract a large sum from Google through that route in this particular case).
Consumers would have more choice. I don’t believe one big entity selling phones and ads carefully regulated by government officials will lead to desirable outcomes in the long term.
The United States government could, hypothetically, pass laws that recognize Google's gestalt of overlapping businesses as a new kind of monopoly and break it up. If you're American, there are some candidates interested in this and they aren't too hard to find.
The product in question is Android, 15 million is probably a reasonable guesstimate and nicely divides to $4 per user. Still not a ton, but not quite as low as you're suggesting.
Roughly how much revenue (and profit) does Google make per Android user per year through targetted ads, etc (over and above e.g. an iPhone user)?
Splitting hairs but by the time I noticed you'd done a currency conversion (which had made me think your number was way off) I figured might as well be accurate.
Edit: while being pedantic, I'll also point out that halving for a "per annum" amount doesn't really make sense considering the estimate of 1.3M users is ones who "may have viewed a screen found by the Court to have breached the Australian Consumer Law" during the two years, not who were exposed to two years worth of anything.
Google already stopped this, so which companies are you referring to?
This fine is only for Australia, and Google has had to pay billions in fines globally, which is not cheap and has changed their data collection practices. The suggestion that fines aren’t working isn’t accurate.
Call me back when the fines hit 25% of revenue earned. Then we'll see some changes.
This is a company that made $257 billion last year.[1] How is that penalty significant exactly? It's practically a rounding error. How does Gina Cass-Gottlieb make that statement with a straight face? I almost think these folks are more interested in putting a check in the win category in order to feather their resume than they are in trying to meaningfully deter these companies from these practices.
[1] https://abc.xyz/investor/static/pdf/2021Q4_alphabet_earnings...
In Australia, News Corp (Rubert Murdoch) dominates the media landscape.[0] They have the power to dictate who wins elections and who loses. Thus, politicians bend to News Corp will.
One of the results of this dynamic is that politicians forced Google to start paying News Corp to show news links in Google News in Australia but not anywhere else in the world.[1]
[0] https://www.abc.net.au/news/2021-04-14/fact-file-rupert-murd...
[1]https://www.theguardian.com/media/2021/feb/17/news-corp-agre...
I hope you're kidding. That power has belonged exclusively to Facebook, Google, et. al. for at least the past 8 years.
The abc link referenced mentions that Murdoch's reach through physical newspapers is indeed outsized, but acknowledges that only ~11% of the population uses this as primary news source. There is nothing indicating anything resembling a monopoly in radio, TV, and most importantly digital.
"The Australian" belongs to News Corp, but is generally considered a respectable outlet. Opinion pieces are clearly distinguishable, and they also welcome contributions by left wing politicians (Tanya Plibersek and Jim Chalmers are examples I remember seeing relatively recently).
The Australian? Respectable? Nah, I don't think so.
They're right wing, obvious about it, and have had several outright false reports in the last few years. [0] They even run their own "Australian of the Year" award, with the same name as the actual award. Their editors call themselves right wing and conservative, and they've been accused by both the Greens and Labor of targeted harassment because of it.
Or is it ok to have nuance on the left but not the right?
Mediabiasfactcheck. Lol. Of course there are stringent guidelines as to what is specifically right wing, far-right wing, left wing and far-left wing... All this political tribalism is pathetic.
Second link is about the News Corp deal, but does mention that ALL Australian media will be compensated for "framing" by Google ("in google" summaries and snapshots of sites that don't generate traffic to actual site).
To be honest, this is a fair ask for kickback to actual content creators .. local journalism, etc.
What's the current state of play, can the ABC and SBS do deals with Google and Facebook to get a return on their content?
Why yes, yes they can.
However, the animosity runs deeper than Americans may imagine.
News Corp Australia has built a ground up, from first principles, Ad Tech platform that competes directly with Google's.
The number of, and proportional penetration, of its publications are such they've the critical mass capable of flouting the Google Ads duopoly.
Fairly strong F500 equivalent engineering culture.
They've recently announced an incredulous financial performance for the legacy media section of their business.
It has to be said Rupert Murdoch funded the whole ad tech build with cable sports money. Murdoch will give up on his Australian newspapers the day hell snows over.
Still, the raw flow of ad dollars is quite remarkable.
Undercutting Google is an (relative to the woes of legacy media) immensely profitable business.
Well, Google is immensely profitable, so this is not very surprising.
What is interesting is that companies undercutting it are the exception, not the norm.
https://thenewdaily.com.au/news/2021/03/17/alan-kohler-news-...
[Rod Sims] said last week: “It doesn’t matter a toss what the money is paid for.”
At an on-the-record Q&A event in Melbourne last week, Mr Sims said: “For reasons of their own, Google and Facebook strongly don’t want to pay for news on search and news feed. Fine. The news media companies don’t care what the money is for. So I just think it’s a perfect outcome.”
“But”, I followed up, “this does nothing to address the dominance of Google and Facebook”.
“This is one problem at a time”, Sims responded.
“The problem we’re addressing with the news media code is simply that we wanted to arrest the decline in money going to journalism. That’s what the code is about – getting more money into journalism, and I personally think the money going into Seven and Nine, what’s been publicly reported, which is north of $30 million, will make a big difference.”
When I pointed out that there is nothing in the code that makes the companies spend the money on journalism, rather than dividends or executive bonuses, he replied that “the world is watching what they do”.
Q: What's the difference between a thug who threatens to break in your windows unless you pay up and Rod Sims?
A: Rod Sims is paid three quarters of a million dollars a year by the taxpayer and has the gall to claim he's acting in the public interest.
We shouldn't assume the ACCC are acting in good faith in this case because we know they haven't historically, instead waging an ideological campaign against tech companies.
What does that have to do with this case?
ACCC hasn't taken any interest in privacy for decades. The first time they showed an interest was the very same digital platforms review in 2018 that also led to them extorting Google and Facebook to hand over cash to Murdoch. We don't even have decent privacy laws, so the ACCC have been quite open about using section 18 of the consumer law as a means to enforce privacy standards against tech companies (said section is a vague prohibition on misleading or deceptive conduct, which can be interpreted as broadly as the ACCC likes which means it can be easily weaponised against whomever).
Australia has very high levels of market concentration and the ACCC is widely derided for failing to ensure competition. This is not a competent regulator. Of course one of the most concentrated industries is the media, which also hates tech companies, so the seeming alliance between the ACCC and traditional media conglomerates is of interest when considering their crusade against big-tech.
Regulatory capture is a well-known phenomenon, and it's especially dangerous when the captured regulators destroy competing industries. A recent example being the FDA's attacks on e-cigarettes because they've long been partially captured by traditional tobacco companies.
https://www.acsh.org/news/2022/05/27/study-raises-questions-...
A month after that was published btw, Matt Holman, chief of the office of science in the FDA's Center for Tobacco Products, left for Philip Morris, a competitor to Juul's owner. This is how things work, it's just harder to find out about when it comes to Australia because, again, we don't have a functioning press, thanks to the ACCC.
Only if that history has something to do with the case in hand. If KKK lynched a white man, for no racist reasons, why do you think that we should be discussing their racist history instead of the facts of this specific case? Don't you think that it is absurd to claim that the only motivation for KKK doing absolutely anything is racism?
Now, if KKK lynched a white man for marrying a black woman... well that would be a different story.
So, what is your "black woman" for the case that is on discussion here?
There's no media coverage on this case because we don't have a proper press thanks to the ACCC, but it's a ridiculous case on the face of it. I use location data covertly stolen from users who've installed various apps at work (we don't do anything nefarious with it but there's no reason someone couldn't). The ACCC doesn't care about privacy or consumer protections unless it involves big tech, as anyone familiar with its history can attest.
>Australia's very robust consumer protections. It's something Australia takes very seriously
Quite the irony here
Even when I explain it with evidence, they still come back with things like "it's about time Google paid their fair share, they've been skipping taxes for too long".
It's utterly incredible what happens when you're on an island isolated from the world.
(NOTE: I've been out of Australia for ~20 years and only recently came back, so it's kind of a shock to only get media from the inside)
Stupidest thing I've ever heard. There is no 'from the inside' in Australia, what media could you possibly have accessed before that you cannot now? Even more, what media external to Australia provides a better or more accurate insight about Australia than the Australian media?
Of course Murdoch's a prick, he always has been, he also does not have total control of the media in any way. To make a statement that implies there is some type of censorship or barrier between Aussies and access to the truth is a complete fabrication.
What I have found is that all the media in Australia, reporting about Australia, has a very specific tone and message that it's putting across.
I spent years around the world reading about Australia from outside Australia, and media in the rest of the world wasn't putting that message into the reporting.
If you have not, I suggest you leave for a good long while and see the place from the outside. It looks a lot different.
I find it unsurprising that any country 'looks a lot different' if you compare internal and external media, the question is accuracy and truthfulness. I ask again, please show me any external news source that is even remotely competitive in these areas with the Australian media.
You double down while answering none of my questions and still have not even explained HOW it 'looks different'.
By definition you are speaking https://dictionary.cambridge.org/dictionary/english/nonsense
Every media outlet was shouting loudly in favor of it, even the Guardian. Zero integrity when the rubber hit the road.
Washington DC, Washington state, Indiana, and Texas are suing Google for the exact same thing.
In this case, Google is guilty as sin.
Is there someone that doesn't?