EU Probe Of Google Phone Deals Follows French Scrutiny Of Apple

By | April 18, 2016

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The European Union antitrust chief is probing Alphabet ( GOOGL )-owned Google’s contracts with mobile phone makers as well as wireless service providers that sell devices using Android software. The EU is already investigating whether Google favors its own shopping service in Internet searches. Now it’s taking a close look at phone deals. “Our concern is that, by requiring phone makers and operators to pre-load a set of Google apps, rather than letting them decide for themselves which apps to load, Google might have cut off one of the main ways that new apps can reach customers,” said EU Competition Commissioner Margrethe Vestager said Monday at a regulatory conference in the Netherlands. Alphabet, which reports earnings on Thursday, rose fractionally just past midday on stock market today . IBD’s Take: How healthy is Alphabet stock heading into earnings? Find out at IBD Stock Checkup The European Union’s probe into Alphabet-Google’s carrier deals follows regulatory action in France involving Apple ( AAPL ). French regulators are reportedly seeking more than $55 million from Apple over claims the company wields too much power over wireless firms. Apple’s contracts require allegedly require mobile operators to order a minimum number of iPhones over three years, and to contribute to marketing campaigns managed by Apple, according to French regulators. The European Commission in 2013 sent a questionnaire to operators regarding allegations that Apple forces them to accept strict terms. Apple stock fell 1.5% in early-afternoon trade, after breaking below its 200-day line on Friday. Related: Amazon, Alphabet Extend Breakouts Ahead Of Earnings Scalper1 News

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