Google has agreed to pay an A$55 million (US$36 million) fine in Australia after the country’s consumer watchdog found the company struck anti-competitive deals with major telcos Telstra and Optus, limiting search engine choices on Android phones.
The Australian Competition and Consumer Commission (ACCC) said Google’s agreements, in place between late 2019 and early 2021, saw the tech giant share advertising revenue with the two carriers in exchange for pre-installing its search app—effectively shutting out rivals.
Google admitted the arrangements harmed competition and has since ended such practices. “Today’s outcome … created the potential for millions of Australians to have greater search choice in the future,” said ACCC chair Gina-Cass Gottlieb.
The fine comes during a turbulent stretch for Google in Australia:
- Last week, a court largely sided with Epic Games in its lawsuit alleging Google and Apple stifled alternative app stores.
- In July, YouTube was added to the national ban on social media platforms admitting under-16 users, reversing an earlier exemption.
A Google spokesperson said the company was “pleased to resolve” the ACCC’s concerns, noting the clauses in question had long been removed from its commercial agreements. The spokesperson added that Google remains committed to giving Android device makers more flexibility while balancing competition with Apple and cost considerations.
The ACCC and Google have jointly submitted the penalty to Australia’s Federal Court for approval, which will decide if the fine is appropriate.
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