Apr 11, 2011

Microsoft files EU competition complaint against Google




 
SEATTLE: Microsoft Corp stepped up its rivalry with Google Inc on Thursday by filing a formal complaint with the European Commission claiming Google systematically thwarts Internet search competition.

It is the first time Microsoft -- itself the target of anti-competition action in the United States and Europe -- has filed a complaint with regulators over competition issues.

In its complaint, Microsoft claims Google engages in a "pattern of actions" that impede competition unfairly. Google controls more than 90 percent of the Internet search advertising market in Europe, well ahead of Microsoft's rival Bing, which is struggling to make inroads into Google's market share.

Google is already under investigation by the European Commission after complaints from three small firms, one of them owned by Microsoft.

Google did not seek to counter Microsoft's claims publicly, but indicated it was not overly concerned by the complaint.

"We're not surprised that Microsoft has done this, since one of their subsidiaries was one of the original complainants," A Google representative said in an-mailed statement. "For our part, we continue to discuss the case with the European Commission and we're happy to explain to anyone how our business works."

Microsoft said it felt it was time to challenge Google on legal grounds directly. Last year the company publicly encouraged companies to question Google's practices.

"As troubling as the situation is in the United States, it is worse in Europe," said Brad Smith, Microsoft's top lawyer, on a blog on the company's website. "That is why our filing today focuses on a pattern of actions that Google has taken to entrench its dominance in the markets for online search and search advertising to the detriment of European consumers." (Reuters )