According to the details Reuters quoted from Beijing, the Chinese government is about to launch a major “antitrust” investigation into Google’s umbrella company Alphabet. The starting point of the investigation initiated by China against Google in December 2019 the Competition Authority in Turkey is the same: to push the opponent out of Android to cause unfair competition. However, China’s hand is much stronger in the case.
Alphabet Inc, the head of the US-based technology giant of which Google is one of the biggest parts, has been in trouble with competition lawsuits for a long time. The allegations that it creates “unfair competition” conditions and puts pressure on phone manufacturers with Android, the world’s most widely used operating system, are the basis of all these cases.
It is thought that the company left the consumer without options due to the fact that it offers its own applications such as Gmail, YouTube, Play Store preloaded on Android-loaded devices, and other companies are also negatively affected by this situation..
In 2019, the Chinese State Council, which took action with the proposal made by Huawei, started its investigation work:
According to Reuters, the biggest factor in the investigation, which will be finalized in October, will be the US and China relations. If you remember, the long-standing commercial wars between the two countries have spread to the world of technology and the USA has decided not to use Huawei products and services, 5G technologies throughout the country. With the Google investigation, it can be said that China is now preparing for a similar move.
Especially the harsh sanctions imposed by US President Trump against Chinese technology companies due to privacy concerns will have an important place in the investigation. Apart from Huawei, China-based ByteDance, which owns TikTok, processor manufacturer SMIC, are among the companies that have suffered globally from the sanctions of the USA.
China’s investigation could usher in a new era in trade wars:
Acting under the control of the US government during the trade wars, Google has decided not to offer its own apps and services to Huawei devices. After this stage, Huawei started working on HMS, its own mobile service, and started working on a new generation operating system called HarmonyOS in order to compete with Google.
The most important detail that strengthens China’s hand in this investigation is that Huawei became a victim when Google support is definite. Although the company continues to work on its own ecosystems, it started to experience sustainability problems when Google’s applications were not used by billions of people.