China is preparing to launch an antitrust investigation against Google, examining the allegations that it used the dominance of its Android mobile operating system to suppress competition. This Reuters was informed by two informants, familiar with the question.
With a request to conduct an investigation to the state regulator last year, the company Huawei Technologies. The case was referred to the antimonopoly committee of the State Council. According to one source, the decision to conduct an official investigation could be made in October. This decision may be influenced by the state of relations between China and the USA.
The possible investigation will follow a series of actions of the U.S. Presidential Administration Donald Trump, aimed at limiting the work of Chinese technology companies under the pretext of national security concerns.
In particular, these include the blacklisting of Huawei, the world’s largest manufacturer of telecommunications equipment by the Department of Commerce, restrictions on U.S. exports to semiconductor chip manufacturer Semiconductor Manufacturing International Corp and pressure on ByteDance to force it to sell the popular service TikTok to U.S. companies.
According to the second informant, the investigation will also consider allegations that Google’s position in the market could cause “extreme damage” to Chinese companies such as Huawei, as the loss of support from the American technology giant Android-based operating systems will lead to a loss of trust and income.
Now China is embarking on a serious review of its antitrust legislation. The proposed amendments include a sharp increase in maximum fines and expanded criteria for assessing the company’s control over the market.