The UK and EU Demonstrate an Inability to Be Googley
September 15, 2022
In the grand scheme of operating a revolving door, the Google is probably going to adjudicate and apologize / explain. I call this “explagize,” an art form perfected at the GOOG. But what’s a revolving door? Visualize a busy pre-Covid building in midtown Manhattan. To enter, one pushes a panel of glass and the force spins a wagon wheel of similar doors. Now imagine that one pays every time one goes around. That’s how the Google online ad business works? Banner adds, pay. Pay to play, pay. Pay for AdWords, caching. Want analytics about those ads? Pay. The conceptual revolving door, however, does not allow the humanoid to escape either without fear of missing out on a sale or allowing a competitor to get clicks and leads and sales.
The BBC article “Google Faces €25bn Legal Action in UK and the EU” states:
The European Commission and its UK equivalent are investigating whether Google’s dominance in the ad tech business gives it an unfair advantage over rivals and advertisers.
This is old news, right? What’s different is this statement:
Damien Geradin, of the Belgian law firm Geradin Partners – which is involved in the Dutch case – said, “Publishers, including local and national news media, who play a vital role in our society, have long been harmed by Google’s anti-competitive conduct. “It is time that Google owns up to its responsibilities and pays back the damages it has caused to this important industry. “That is why today we are announcing these actions across two jurisdictions to obtain compensation for EU and UK publishers.”
Do you think “pay back” means a painful procedure capped with a big number fine? I do.
What’s not being considered, in my opinion, are these factors:
- The barristers, avocets, and legal eagles trying to wrest big bucks from Googzilla are unlikely to find the alleged monopolist eager to retain their firms’ services or look favorably on hiring the progeny of these high fliers
- Will the UK and EU spark counter measures; for example, prices may rise and some ad services not offered to outfits in the UK and EU?
- Will the UK and EU grasp the fact that ad options may not be able to fill any gap or service pull out from the Google?
- The high value data which Google allegedly has and under some circumstances makes available to government authorities may go missing because Google either suffered a machine failure or curtailed investment in infrastructure so that the data are disappeared.
More than money? Yep. Consequences after decades of hand waving and chicken salad fines may cause some governments to realize that their power, influence, and degrees of freedom are constrained by a certain firm’s walled garden.
The money for the fine? Too little and too late as I try to make sense of the situation. The spinning revolving door can be difficult to escape and trying may cause dizziness, injury, or company death. Yikes.
Stephen E Arnold, September 15, 2022
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