August 19, 2025

Google has conceded to engaging in anti-competitive behavior, following a decisive intervention by the Australian Competition and Consumer Commission (ACCC). The tech giant agreed to a substantial $55 million penalty after admitting to practices that potentially restrained trade within the Australian market. This resolution stems from ACCC's Federal Court actions against Google Asia Pacific, spotlighting the company's dealings with local telecom giants Telstra and Optus.
The controversy centers around Google’s agreements with these telecom providers, which made Google's search engine the default on Android devices they sold. This arrangement, ACCC posits, could impede consumer choice and stifle innovation in the digital landscape. "Practices such as entering into agreements to ensure exclusivity can limit consumer choice or deter innovation," stated ACCC Commissioner Liza Carver, emphasizing the obligations of dominant platforms under national competition laws.
This case pivots on the breach of section 45(1)(a) of the Australian Competition and Consumer Act 2010, which bars contracts or agreements that restrict trade. Google Asia Pacific acknowledged two instances of such contraventions. ACCC Chair Gina-Cass Gottlieb remarked on the broader implications of these legal proceedings, suggesting that they "have created the potential for millions of Australians to have greater search choice in the future."
This Australian case is part of a larger narrative of legal challenges Google faces globally. Notably, a US federal judge recently found Google in violation of the Sherman Antitrust Act for monopolizing internet search and search advertising markets. Other legal battles include a lawsuit in Italy over preferential treatment of Google Shopping and a US federal ruling against Google’s advertising monopolies. Furthermore, the US Ninth Circuit Court recently upheld a verdict that Google unlawfully maintained monopoly power over Android app distribution and in-app billing services.
These accumulative legal setbacks highlight growing global scrutiny over Google's business practices, suggesting a trend towards increased regulatory oversight of major tech companies around the world. The outcomes of these cases, including the Australian fine, could herald significant changes in how digital platforms operate globally, ensuring they foster a competitive, innovative, and fair digital market.