24 February 2010

EU - Google faces anti-monopoly probe by European Commission

(Guardian)
Google is facing a preliminary anti-monopoly probe by the European Commission into its dominant position in online browsing and digital advertising following allegations that it demotes competing websites to the lower echelons of customers' search results. The Silicon Valley internet company revealed that the commission has sent out formal questionnaires seeking information about complaints from three firms – the British price comparison site Foundem, a French legal search engine called eJustice and a shopping site, Ciao, which is owned by Microsoft. The complaints centre on the way in which Google's search results are compiled and on the terms and conditions the company attaches to deals with advertisers. Although the commission's investigation is only at a tentative stage, the fact that Brussels is taking the issue seriously is likely to set off alarm bells at Google. See also Exclusive: How Google's Algorithm Rules the Web (Wired) and blog post by Amit Singhal, a Google Fellow responsible for ranking, explains the principles behind its algorithm.