It has emerged that in the antitrust report released by the House Judiciary Committee has concluded that the big tech companies like Google are stifling the competition. As reported by Android Police, the report then goes onto recommend changes to antitrust legislation as a result.
Naturally, Google is not happy about this and has responded quickly to the report. The company claims that Americans do not want the company broken up. Google goes onto claim that the people do not want its services harmed.
This all comes in the midst of growing pressure on big tech companies surrounding their antitrust behaviour. Google is facing multiple lawsuits around the world. Most recently it was reported that the Department of Justice was considering a lawsuit against the company.
Google appears to have sensed the time to fight back against the House antitrust report. Its statement defended the company’s position strongly. However, it appears the tide has begun to turn against the big tech companies in this area.
Google hits back at damming House antitrust report
The house report compares the likes of Google to “oil barons and railroad tycoons” of old. It claims that the fees it charges and contract terms it imposes stifle any competition around it.
Lawmakers have also proposed several legislative changes to combat the actions of the big tech companies. These include forcing dominant companies to offer equal terms to other businesses. One suggestion also argued that dominant companies should be banned from competing in “adjacent lines of business”.
Google, however, has hit back at this report and its suggestions strongly. It notes that millions of Americans benefit from the company’s free products. As a result, the people do not want the company to break up.
They argue that a breakup of Google would ultimately harm the consumer which is what lawmakers seek to protect. However, the statement released does not address the fact that the company competes in a marketplace it runs itself in the form of the Google Play Store.
This makes for a very complex situation, Google is right that in the event of a total break up many of its free services would cease to exist. However, if more opportunity was afforded to competing companies then maybe some new and better services would spring up.
For now, there is no firm action that will occur from this report. It is currently just a set of recommendations which will not necessarily come into force. However, how this all progresses will be fascinating to observe as the big tech companies scrap to maintain the status quo whilst congress seeks to even the playing field.