Google Could Face Antitrust Probe in China Instigated by Huawei

Posted on the 02 October 2020 by Thiruvenkatam Chinnagounder @tipsclear
  • Google could face a new antitrust investigation in China.
  • Huawei has reportedly prompted Chinese lawmakers to investigate the U.S. giant amid its recent battles.
  • The probe would also touch US treatment of TikTok and chipmaker SMIC.

China is reported to launch an antitrust investigation into Google's dominance in mobile operating systems. According to a Reuters Mountain View reportedly could face an antitrust investigation earlier this month as US-China trade tensions persist. In particular, the sources of the publication suggest that Huawei motivated the investigation.

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Reportedly key to the investigation is how U.S. companies like Google are treating Huawei in the face of the ongoing trade ban. At Huawei, Google's support for Android has been discontinued, so that Google services are no longer available on important devices in markets outside of China.

Google could have a problem here

The report suggests that China could examine Google's market position in this regard to inflict "extreme damage" on other Chinese companies that rely on their operating system and other features. The sudden end of Google support, services and apps is not necessarily a problem for companies that operate exclusively in China, but it could put the numerous Chinese smartphone companies that do business internationally at a disadvantage.

The investigation wouldn't stop there. It is also said to focus on the U.S. government's treatment of chip maker SMIC and ByteDance's TikTok.

Reuters Sources add that if China begins its investigation, it will consider Google's previous investigations by EU and Indian lawmakers. It's not clear what the country's decision would require of Google if found guilty of wrongdoing. It is likely that China will want to protect its Android phone OEMs from similar issues to Huawei.

Google is no stranger to antitrust lawsuits. It was already fined 5 billion US dollars by the EU in 2018, was investigated by India and fined for "search bias" in the country. It could also be scrutinized in the United States.

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