Europe Looks into Splitting Google's Business
David Curry | | Nov 22, 2014 12:50 PM EST |
(Photo : Reuters) Google is once again under fire by the European Parliament, with growing resentment in the EU for almost a decade against the Internet company.
The European Parliament is looking into resolutions to stop Google using its search dominance to push its other services; one of which could be a proposal to split the search engine from the main business.
Google controls 90 percent of search in Europe and U.S., China, Russia and a few others use different providers. Google has an overwhelming amount of power when it comes to search ranking, and can destroy companies based on ranking.
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The recent changes to its algorithm have hurt companies like Yelp, who believe Google is attacking its business. Google+ search ranking and Google reviews have made Yelp a second-best source, hurting the company's presence on the Internet.
Other companies have grown tired of Google's hold over the largest search engine, and how it chooses to install its own services on top of the search engine. These services usually hurt other companies, who cannot compete with the integration and ranking.
Both Europe and the U.S. filed antitrust cases against Google, but both failed to find any hard evidence of Google conspiring to destroy other companies through its search engine.
Europe in general has grown more distant from U.S. company control, after the allegations from Edward Snowden on NSA surveillance. Germany has been especially prudent against the U.S., after reports claimed the U.S. agency spied on Chancellor Angela Merkel.
Google has been tossed into the U.S. surveillance issue, after reports claimed Google offered a backdoor for the NSA and other surveillance groups, like GCHQ in the UK, to intercept and store information on citizens in the countries.
Even though the new proposal to split Google up carries no weight, the European Parliament will look for a decision from the European Competition Commission. The Commission has the power to enact new regulations and laws, but still, does not have the power to break up companies.
The U.S. would likely have to verify the proposal as well, since Google is an American company. There might be some restrictions or fines for Google however, if they do not comply with the European court.
Google is in hot water right now, and has scuttled around the European issues for too long. It is now coming back to bite them, this time with more venom due to the issues regarding surveillance and the continued push of new services by Google through the search engine, hurting some businesses in Europe.
TagsEuropean Parliament, European Commission, Search engine, anti-trust, yelp, Germany, NSA surveillance
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