FairSearch accuses Google; exposes truths

Google is becoming a threat to the future of the Internet, according to FairSearch, an organization of 17 companies principally engaged in electronic commerce have filed a complaint against the search engine malpractice.

"The truth about Google, there is a huge conflict of interest on the basis of Google’s business model, a conflict that Google has exploded since its inception." FairSearch has announced.

Microsoft, Expedia, Tripadvisor, Kayak and more than a dozen e-commerce companies have complained against them. Their initiative coincides with the European Commission’s investigation of possible abusive practices of its dominant
position by the popular search engine.

"Google is using their enormous power in search and advertising associated with search to continue and expand its dominance at the expense of competition and consumers," says the website FairSearch.

Recently, Joaquin Almunia, European Commissioner for Competition, gave a few weeks to Google to rectify four practices that clash with the competition. Google were reportedly asked to alter the situation for abusing in vertical
searches, copying material from their competitors without their permission, their relationships with their partners to stop at third and restrictions for companies that advertises on AdWords.

According to a spokesman for Google, the conditions are not difficult to fulfil and the firm’s attorneys are working with the European Commission.

The conflict is not trivial. The 475 million European Internet users are generating 159,000 million Euros in electronic commerce. This trade appears in searches on the Internet, but 88% of clicks go to the top three results (none
from the third page), so any variation in search results lists damages or benefits to companies devoted to electronic commerce.

However, FairSearch is especially concerned about the entry of Google, in principle a general search engine (horizontal) in the business of specialized search engines (vertical), such as those involved in tracking flights or hotels
(Expedia or Kayak).

The search engine has 94% of the market in Europe, 91% of the world and 98%, thanks to free Android, from the mobile, which in two years will generate more Internet connections than the computer.

Apart from legitimate practices like buying competitors, FairSearch accuses Google of preventing a customer from AdWords advertising system can send data to other advertising platforms and also to set limits to advertisers to get
their exclusivity.

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Posted by Farasat Ali on Jun 8 2012. Filed under Sci-Tech. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry