Google to Charge Phone Makers for Android Apps in Europe

LONDON - Google has always made its Android mobile operating system available for free to get its search engine, web browser and other apps on as many devices as possible to collect user data and sell advertising.

But on Tuesday, in response to a European antitrust decision this year, the company announced that it would start charging device makers to install Gmail, Google Maps and other popular applications for Android in the European Union.

The new agreement is the latest sign that global technology companies are adapting their business practices in Europe to reflect the country's stricter regulations.

The online privacy regulation adopted in May has forced companies operating in Europe to add new data protection policies that limit people tracking over the Internet. Germany has enacted strict laws to prevent the spread of hate speech and misinformation, forcing Facebook, YouTube and Twitter to eliminate questionable content or pay fines, a strategy envisioned by other countries in the region . A copyright law negotiated in the European Union would also limit articles and videos that a website could publish online without a license.

Google faced a deadline to make changes to Android after European regulators imposed a record fine of 4.34 billion euros, or about $ 5 billion, in July for the wrongful bundling of Android services free to Keep your domain in the advertising market and search online. .

According to regulators, by forcing device manufacturers to charge free applications with the Android operating system, Google had eliminated their competitors. Now that the company needs to separate its services in Europe, phone manufacturers such as Samsung and Huawei will now have more flexibility in choosing which apps to pre-install on their phones.

Google has announced that it will be selling a license for a package including Google Play, Gmail, YouTube and the Maps application store. Another license will be available for companies wanting to install Google Search and the Chrome browser, which will allow phone manufacturers to build partnerships with competing services. The company did not say how much it would charge for licenses.

The European Commission had authorized Google to find its own way to comply with the decision, urging regulators to ensure that the company fulfills its obligations. Google is already facing criticism for failing to comply with an earlier antitrust resolution on the company's unfair preference in its own search results.

Margrethe Vestager, commissioner of competence of the European Commission. In recent years, Europe has become a strict watchdog in the global technology industry, with policies encouraging other countries to adopt a stricter approach.

The final effect of the change announced on Tuesday remains to be seen, but European customers will likely be offered a wider variety of Android devices. Some will come with Google services; others may more clearly present the applications presented by competitors.

Android is the most widely used mobile operating system in the world and powers over 80% of the world's smartphones. Google said that more than 24,000 types of devices run the software. The use of Android has allowed companies such as Samsung to compete with Apple's iPhone without having to create their own software.

By providing Android free to any device manufacturer for use and modification, Google has helped make the software available everywhere: on phones, tablets, cars and refrigerators. But the company has linked the use of the popular Play Store, where customers can download more than one million applications created by third-party developers, to the requirement for device manufacturers to include other services based on on advertising, such as the search engine. Google and the web browser.

Some phone makers told European regulators that Google's conditions forbade them to create devices that were less dependent on the research giant's applications. These companies will now have more freedom to offer alternative services without facing the consequences of Google.

"Android phone makers wanting to distribute Google apps can now also build unsupported and connected smartphones and tablets in Europe," Google said in a statement. "They will also be able to get Google Play licenses separately from Search and Chrome, free to install rival applications as before."

Google declined to indicate what the financial impact of these changes would be and stated that license fees were required to offset the loss of advertising revenue. But the company could make money from phone manufacturers who choose to use their apps and charge license fees and advertising revenue when their services are used.

Google also plans to offer financial incentives to companies that continue to present their search engine and browser, which could give the company an edge over its competitors.

Samsung and Huawei, two of the largest manufacturers of Android phones sold in Europe, made no comment in the immediate future.

Android changes may not be permanent. Google is appealing the decision of the European Commission, a process that could last for years. If the business wins, you can bundle your free services.

Europe has become the hardest watchdog in the world in the global technology industry. Once considered too aggressive, the region's policies are now encouraging other countries to take a harsher approach. In the United States, where the technology sector is poorly regulated, members of Congress and the Federal Trade Commission speak more favorably about tighter control over online platforms such as Facebook and Google.