The FAS ruled against Google in the case of restriction of competition in the mobile software market, opened in early 2015 on the complaint of “Yandex”. The company was fined 438 million rubles.
The Federal Antimonopoly Service (FAS) has fined Google Inc. and its “daughter» Google Ireland in the case of violation of competition, the ministry said. “Fine for Google for violation of antitrust laws has made 438 million rubles. We hope that the company will fulfill our decision and pay a penalty in the near future “, – quotes Deputy Head of FAS Alexei Dotsenko
A spokesman Minister Anna Orlova refused to specify on what amount the size of the fine was calculated. citing trade secrets. Earlier, the head of the FAS Igor Artemyev has warned that the amount of the fine for Google may be up to 7% of the revenues received by the market where the infringement occurred. The FAS has identified it as a pre-installed application stores market in Russia. If the Anti-Monopoly Service has since been changed decisions about the amount of the fine, the American corporation’s revenue from Google Play in Russia could be 6.3 billion rubles. Google does not disclose financial results for individual segments and countries.
Google representative of the press service told RBC that the company received notice of the appointment of the FAS fine. “We will carefully review the decision before determining next steps”, – he explained
The case of violation of competition against Google was opened in February 2015 on the complaint of the main Russian rival corporation -. Company “Yandex”. Representatives of “Yandex” stated that faced with the limitations of a number of manufacturers of mobile devices (Explay, Fly, etc.): In particular, they terminated the contracts of the preset mobile applications. Manufacturers cited contractual limitations on the part of Google, stated in the
«Yandex.” In September 2015 FAS found Google and its Irish subsidiary, Google Ireland guilty that they prohibit manufacturers of mobile devices running on OS Android system (part of Google) and establishing Google Play, pre-install the application on devices competitor. In his prescription Antimonopoly Service of Russia has ordered Google to change contracts with manufacturers of mobile devices, including already concluded, and clean out the ban on preset competitors applications and items that require manufacturers to install with Google Play applications, products and services from Google Mobile Services Package ( Apps Play Store, Google Maps, Gmail, Drive, YouTube, Hangouts, and the Chrome browser), locate the icon of the application on the first mobile device, and set a Google search by default.
However, in early June, Deputy Minister Alexander Golomolzin said FAS leads from Google negotiate a settlement agreement. The representative of “Yandex” then noted in a conversation with RBC that the main goal for the company is “the restoration of the competitive situation in the market and elimination of the consequences of the violations that have been established the FAS and confirmed by the court.” If Google voluntarily fulfill the key requirements of the basic decisions of the FAS as a result of a settlement agreement, the company is also satisfied, explained the representative of “Yandex”. The press service of Internet holding company declined to comment on the announced amount of the fine.
A decision made in favor of « Yandex », the American corporation tried to challenge the Arbitration court of Moscow in late 2015 year, and in March he rejected the claim. However, Google continues to challenge the decision of the antimonopoly authority: the next hearing to be held on 16 August. Orlov noted that the negotiations on the settlement agreement are continuing, refusing to talk about its possible conditions. In deciding the amount of the fine likely settlement agreement will not be affected, she specified.
In July 2016, General Director of “Yandex” in Russia, Alexander Shulgin, announcing the company’s results for the second quarter, he said, that the company was able to enter into new contracts for the distribution of their applications to manufacturers of mobile devices after the FAS solutions. As a result of these agreements, the share of Russian companies in the search on mobile devices with the operating system (OS) Android began to grow in late June, noted Shulgin.
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