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Transcript

00:00:00
>> The European Union has hit Google with a record breaking 5-billion-dollar antitrust fine. That's nearly double last year's penalty over the Google shopping service. This time, it's over its Android operating system for mobile phones, which regulators say is pushed on phone makers in a way that make it too difficult for companies that aren't Google to get their apps on it.
00:00:22
Think alternatives to Google Maps or the Google search engine which often come pre-installed on the phones along with the app marketplace called the Play Store. The EU's punishment only amounts to about two weeks revenue, but it faces more if it doesn't change within 90 days. Reuters European tech correspondent, Doug Busvine.
00:00:42
>> In practical terms, a fine of this order would represent an inconvenience but not a threat to Google's business. Remember, last year's fine added up to just 2.5% of parent company Alphabet's annual revenues. Even if Google is forced to offer buyers of Android's smartphones a choice of where to download their apps, many will simply go back to the Google Play Store.
00:01:05
That's what they know, that's what they're used to, and that's what they like.>> The Play Store and Google search engine are also big money makers through their ad revenue. Google says, it will repeal the fine. It argues that its hold on advertising keeps its software free for consumers, and low cost for third party developers to work with, and that it's chief competitor, Apple, uses a system that blocks rivals even more.
00:01:28
>> Google will fight tooth and nail to defend its position in the Android app universe and in mobile advertising more generally. Regulators are going to be dealing soon with companies worth a trillion dollars or more, the basis on to see who is going to be fast. At that size, they're not gonna get any easier to rein in.
00:01:45
>> A recent study suggests that in Europe's biggest countries, six out of the top ten most downloaded phone apps come from Google. The other four are owned by Facebook.