The Competition Commission’s Media and Digital Platforms Market Inquiry’s provisional report found Google guilty of anti-competitive practices.
Google has raised objections to several of the recommendations put forth by the Competition Commission of South Africa in the Media & Digital Platforms Market Inquiry (MDPMI).
The Commission recently made public the non-confidential version of Google’s response to its provisional report on the MDPMI.
In February, the Commission released its provisional report on the MDPMI, with a specific focus on Google’s interactions with local publications and its impact on driving users to news content.
The report found Google to be engaging in anti-competitive practices and suggested that the tech giant could potentially be required to pay up to R500 million annually to South African media outlets.
The Commission highlighted the unequal bargaining position of the media industry in relation to Google’s monopoly, leading to an inequitable distribution of value between the tech giant and news publishers in South Africa.
Google has responded to the Commission’s findings, stating that the recommendations fail to consider the evolving ways in which people consume news.
The tech company emphasized that consumers now access news content through a variety of platforms and channels, and the proposed remedies from the Commission disproportionately burden Google.
Additionally, Google expressed concerns that the Commission’s recommendations could inhibit innovation in South Africa, particularly in the realm of AI technology.
Google argued that modifying certain AI products as suggested by the Commission would hinder the development of innovative features that have been beneficial to users in South Africa.
Despite these challenges, Google reiterated its commitment to collaborating with the industry and the Competition Commission to find balanced solutions for the future of the news ecosystem.
The Commission initiated the inquiry in late 2023 amid concerns that certain features of digital platforms distributing news media content could potentially hinder competition.
Google’s response to the Commission’s provisional report reflects the ongoing dialogue and negotiations between the tech giant, media industry, and regulatory authorities in South Africa.
