Google Fined $36 Million in Australia for Anti-Competitive Deals

Tone & Political Bias: Center

Why: The reporting is factual, focused on regulatory action, court proceedings, and corporate response without leaning toward pro- or anti-Google sentiment.

The Fine

Google has agreed to pay 55 million Australian dollars ($35.8 million) after Australia’s consumer watchdog ruled the company harmed competition. The Australian Competition and Consumer Commission (ACCC) said Google paid the country’s two largest telecommunications companies, Telstra and Optus, to pre-install Google Search on Android devices.

These deals, in effect from late 2019 to early 2021, excluded rival search engines. The regulator stated that the arrangements had a “substantial effect” on competition. Google admitted this impact and agreed to stop signing similar contracts.

Broader Context in Australia

This fine comes during a turbulent period for Google in Australia:

Epic Games lawsuit: A court mostly ruled against Google last week in a case brought by Fortnite-maker Epic Games. The suit alleged that Google and Apple restricted rival app stores on their platforms.
Youth ban on platforms: Google-owned YouTube was recently added to Australia’s ban on social media use for children under 16, reversing an earlier exemption.

ACCC’s Position

ACCC Chair Gina Cass-Gottlieb said the outcome ensures Australians will have greater choice in search engines. She added that the decision opens opportunities for rival providers to gain visibility in the Australian market.

The watchdog emphasized that the deals between Google and the telecom firms tied ad revenue from Google Search on Android devices to Telstra and Optus.

Legal Proceedings

The fine is not yet final.

Google and the ACCC have jointly submitted the 55 million AUD penalty to the Federal Court.
The court must approve the penalty before it takes effect.
The ACCC noted the cooperation avoided a lengthy legal battle.

Google’s Response

A Google spokesperson said the company was pleased to settle the matter and noted that the provisions in question had already been removed from its commercial agreements.

The statement highlighted that Google remains committed to:

Giving Android phone makers more flexibility to pre-load browsers and search apps.
Preserving features that allow Google to compete with Apple.
Keeping device costs affordable for consumers.

What It Means

The case reflects increasing scrutiny of global tech giants in Australia.
Regulatory pressure is pushing companies like Google to alter business practices that limit competition.
If the court approves the fine, it will mark one of the most significant penalties against a tech firm in Australia for anti-competitive behavior.