What you need to know
- Google today fired back against yesterday's House antitrust report.
- The company said the report was based on inaccurate and outdated information from its commercial rivals.
- It also said solutions like breaking up the company would cause harm to consumers and the economy for no clear gain.
An antitrust report yesterday from the U.S. House of representatives found that major tech companies (Amazon, Apple, Facebook, and Google) enjoyed monopoly power in select areas of their business. The report also came with recommendations aimed at rectifying this. Some of these potential solutions involved breaking up these companies and spinning off businesses where these companies dominated into their own discrete companies. For instance, YouTube could become a separate company away from Google to tackle the company's dominance of online advertising.
As you'd imagine, Google was not very pleased with this suggestion. Writing on the Google Blog, CEO Sundar Pichai said:
The CEO also noted its work in helping users keep ownership of their personal data. Aside from Google Takeout, it also supports the industry-led Data Transfer Project, an initiative Google leads with Microsoft, Twitter, Facebook, and Apple. The company noted its work with the Android operating system which is offered free of charge.
Apple also disagreed with the report on its own terms, noting that the App Store had created a powerful ecosystem for consumers and developers alike and that "developers have been primary beneficiaries of this ecosystem." Amazon too objected, arguing that the proposed changes would only reduce competition.
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