Google competition proposals not good enough - Almunia

Google needs to revise its proposals to calm concerns of anti-competitive practices in the search market and settle the European Commission's charges against the search giant. Joaquin Almunia, the EU’s competition commissioner, told Spanish radio that the latest offer by the world’s largest search engine was "not acceptable" and failed to address concerns that it may discriminate against rivals in its search results. "The ball is still in Google’s court," Almunia said, according to a transcript of the interview from his office reported by Bloomberg. "Within a short timeframe, the ball will then be here and then it will be the moment to take decisions." 

Google said it has already made "significant changes" to its proposed commitments aimed at addressing the EC’s concerns, said Al Verney, a spokesman for the company in Brussels. Almunia said Google’s current offer fails to eliminate possible problems on the way the company’s rivals in vertical search are being treated. This includes search services for products and price comparison and restaurants, he said. 

David Wood, a lawyer for a group of Google rivals, said Almunia’s comments showed that the EU should abandon attempts to settle with Google and send the company a formal complaint. "We believe strongly that the next step should be a full examination of all the pending complaints by means of a statement of objections," said Wood, who represents the industry group ICOMP.

The EC is currently considering industry responses to Google's proposals, before taking a final decision on whether to negotiate a settlement of the case with Google or start formal charges for competition violations.