Google Inc. (GOOG) Facing Big Fine in EU Antitrust Inquiry

Google Inc.Google Inc. (NASDAQ:GOOG) has been in negotiations for several months to try to settle an antitrust investigation by the European Union Competition Commissioner, but the authority commented this week that if negotiations continue to drag on, he may be forced to resume its formal process of investigation, and may impose a large fine against the company.

Google Inc. (NASDAQ:GOOG) is under fire by EU regulators for antitrust allegations, where Competition Commissioner Joaquin Almunia has been looking into charges that Google’s search results favor its own services and lowering the visibility of competitors. Several competitors have been asking for Google Inc. (NASDAQ:GOOG) to implement a more balanced and fair rating system in its search results algorithm, where the best-rated results appear first, regardless of the site or service that provides it.

Google Inc. (NASDAQ:GOOG) has made some concession in July, but Almunia said those concession have not been circulated to competitors as of yet to determine if hose would be suitable remedies. However, the commissioner said that he advised his staff to work with Google “in order to assess in-depth the solutions presented.” However, if no additional progress is made in reaching a negotiated settlement, then Almunia said he would proceed to the next steps in the process, which could involve imposing a fine up to 10 percent of its annual global revenue (which was about $38 billion last year). The EU could also impose restrictions on Google’s business in Europe in the future due to anti-competitive practices.

To potentially pay $4 billion in fines and see its business reduced in a vital online market would likely be a motivation for Google Inc. (NASDAQ:GOOG) to come to a reasonable settlement with the EU. Certainly investors in Google stock – like hedge-fund manager Chase Coleman of Tiger Global Management LLC – may be motivated to keep a close eye on this process as it unfolds in the coming weeks.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 10 Countries with the Highest Suicide Rates

The 10 Most Technologically Advanced Countries in the World

The 10 Safest Countries in the World to Live in Peace

The 10 Top Selling Smartphones in the World 2014

The 12 Biggest Shopping Centers in the World

The 10 Friendliest Countries in the World

Qihoo 360 Technology Co Ltd (QIHU), Actavis plc (ACT), Yahoo! Inc. (YHOO) Among 20 Long Ideas from Sohn Canada

The 10 Laziest Countries in the World

The 10 Most Polluted Countries in the World

The 10 Most Dangerous Cities in America 2014

The Top 10 Gold Producing Countries in the World

The 10 Tallest Buildings in the World

The 10 Richest Stand Up Comedians in the World

The 10 Fattest Countries in the World

The 5 Best Summer Jobs for Teens

The 10 Most Religious Countries in the World Keeping the Faith

The 10 Most Educated Countries in the World

The 10 Most Popular Cell Phones in the World

The 10 Drunkest Countries in the World

The 10 Most Expensive Private Schools in the World

The 10 Smallest Countries in the World

Walking Dead Season 5 Spoilers You’ll Wish You Didn’t Know

The 10 Poorest Countries in the World

The 10 Greenest Countries in the World

The Top 10 Countries with the Highest Population in the World

The 10 Most Visited Countries in the World

The Top 10 Star Wars Characters in the Iconic Series

The 10 Most Expensive Android Phones in the World

5 Reasons Why The Illuminati Is Real and a Threat to Society

The 6 Scariest Halloween Costumes Ever Screamed At

The 4 Biggest Hedge Fund Managers in the World Today

The 15 Most Densely Populated Countries in the World

The 10 Biggest Tea Drinking Countries in the World

Top 6 Ways to Improve Your Checkout Process and Close Sales

The 5 Most Profitable Online Businesses You Can Start Today

The 20 Most Profitable Hospitals in the US

The 5 Most Profitable Home Businesses to Start

The 7 Teams that Will Win the Stanley Cup in 2015

The Top 10 Most Expensive Digital Cameras to Snap Stunning Shots With

The 10 Highest Quality Fast Food Restaurants In America Today

The 8 Best Halloween Decorating Ideas to Spook Up Your House

10 Marvel Women that Should Get a Movie Right Now

The 20 Best Remixes of Popular Songs that Will Make You Forget the Originals

7 Most Expensive Cities in the World

5 Least Expensive Cities in the World

10 Celebrities Who Believe In Scientology

10 High Margin Food Products to Build a Business Around

The 10 Most Expensive Clothing Stores in the United States to Get Decked Out At

The 5 Biggest Kickstarter Scams That Swindled Backers’ Donations

The 10 Most Expensive Boarding Schools In the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!