Google and competition: searching for a solution | Tom Watson | Comment is free | guard... - 1 views
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Some time later this month we are expecting the European commission to decide how it will proceed with its investigation of the search giant Google, following the latter's submission of proposed remedies at the end of January over allegations that it has engaged in a range of anticompetitive practices.
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Google is a global company and its activities will require a global solution.
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Google's global revenues were £23.5bn in 2011. Those are its revenues before tax, although Google's approach to tax is another and equally interesting story. Those vast revenues do not come from those who search, but from those who bid to place advertisements alongside the search results. This means that Google has a clear interest to arrange the rankings in a way that maximises its profits and faces a stark conflict of interests when it does so. It has every incentive to demote other companies, who might actually be offering answers or services that are more relevant to the user queries, and to advance its own services.
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