Google Fined Australia A$55 Million for Anti-Competitive Android Search Deals
Intermediate | August 29, 2025
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Google Fined Australia A$55 Million for Anti-Competitive Android Search Deals
On August 18, 2025, the Australian Competition and Consumer Commission (ACCC) announced that Google has agreed to pay a A$55 million (about US$36 million) fine after admitting it had struck deals with Telstra and Optus to pre-install the Google Search app exclusively on Android devices sold by the two major telcos—effectively shutting out competing search engines. The agreements, which ran from late 2019 to March 2021, included sharing ad revenue with the carriers. This case is widely known as the Google fined Australia A$55 Million ruling. (Reuters)
Why Google Fined Australia A$55 Million Matters
The ACCC found that Google’s arrangements likely “substantially lessened competition,” limiting consumer choices on Android phones. In response, Google signed court-enforceable commitments to remove default search engine restrictions from its contracts with device manufacturers and telcos. (AP News) The fact that Google fined Australia A$55 million is now part of the record highlights how regulators can shape the tech landscape.
Immediate Reactions and Outcomes
In a statement, ACCC Chair Gina-Cass Gottlieb said the agreement could lead to “greater search engine choice in the future” for Australians. The court must still approve the fine, but both Google and the ACCC jointly submitted the proposed penalty. (Reuters) Telstra, Optus, and rival TPG had previously committed not to enter into exclusive pre-installation deals. (news.com.au)
Why This Story Matters to You
For English learners, this story offers a clear example of how big tech firms can face legal consequences across borders. It also introduces useful business and law-related expressions like “anti-competitive conduct,” “default app restrictions,” and “consumer choice.”
Vocabulary List
- Pre-install (verb) – to have something installed on a device before it’s sold.
Example: “Google asked Telstra and Optus to pre-install its search app.” - Anti-competitive (adjective) – actions that limit fair competition.
Example: “The ACCC labeled the deals as anti-competitive.” - Competition (noun) – rivalry between companies seeking the same market.
Example: “The agreements reduced competition in search.” - Commission (noun) – an official group tasked with making decisions or investigations.
Example: “The ACCC investigated Google’s deals.” - Committed (verb) – promised to do something.
Example: “Google committed to remove default search restrictions.” - Default (noun) – the automatic or preset option.
Example: “Google Search was set as the default app.” - Undertaking (noun) – a formal promise.
Example: “Google gave a court-enforceable undertaking to change its contracts.” - Submit (verb) – to formally present something for approval.
Example: “They submitted the penalty to the Federal Court.” - Choice (noun) – the opportunity to choose between alternatives.
Example: “Experts hope the decision will increase consumer choice.” - Rival (noun) – a competitor.
Example: “Competing search providers may gain exposure now.”
Discussion Questions (About the Article)
- What agreements did Google make with Telstra and Optus?
- Why did the ACCC say these agreements were problematic?
- What steps did Google and the ACCC take as part of this resolution?
- How could this outcome affect Australians using Android phones?
- Why is consumer choice important in the tech industry?
Discussion Questions (About the Topic)
- Why do regulators step in when tech companies limit app choice?
- Have you experienced default app restrictions on your devices?
- What might happen if one company dominates a market unchallenged?
- How can competition help improve services for users?
- Should regulators monitor technology agreements more closely?
Related Idiom
“Level the playing field” – to make competition fair for everyone.
Example: “The fine and commitments help level the playing field for rival search engines.”
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This article was inspired by: Reuters, AP News, and news.com.au
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