Hajra Naz
Google will pay a fine of A$55 million (US$35.8 million) in Australia. The penalty follows a ruling from the competition watchdog. The regulator found Google made anti-competitive deals with major telcos.
Between 2019 and 2021, Google paid Telstra and Optus to pre-install its search app on Android phones. This deal excluded rival search engines from fair access. In return, the tech giant shared advertising revenue from Google Search with the telcos.
The ACCC said the arrangement significantly harmed competition. Google admitted the impact and confirmed it has since stopped signing such agreements.
“Today’s outcome created the potential for millions of Australians to have greater search choice in the future, and for competing search providers to gain meaningful exposure to Australian consumers,” ACCC Chair Gina Cass-Gottlieb said.
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Google and the ACCC have jointly submitted the A$55 million fine to the Federal Court, which will now decide whether to approve the penalty. Both parties said cooperation avoided what could have been lengthy litigation.
A Google spokesperson said the company was “pleased to resolve” the matter and emphasized that the clauses in question had not been used in commercial agreements “for some time.” The spokesperson added that Google remains committed to giving Android device makers more flexibility in pre-loading browsers and search apps while maintaining features that let them compete with Apple and keep costs low.
Telstra and Optus, owned by Singapore Telecommunications, said they had fully cooperated with the ACCC. Both companies pledged not to sign similar agreements with Google since 2024.
The ruling adds to a string of recent challenges for Google in Australia. Just last week, a court mostly sided with Fortnite maker Epic Games in a lawsuit accusing Google and Apple of blocking rival app stores. And in July, YouTube was added to Australia’s ban on social media platforms for users under 16, overturning an earlier exemption for the video-sharing site.
