Eric Schmidt Admits Google May be a 'Monopoly' But Denies Antitrust Claims

Category: / Sep 22, 2011 4:36PM EDT
Google Inc Chairman, Eric Schmidt, defended his company's business practices on Capitol Hill for the first time since his company came under fire for their questionable search operations. Schmidt denied that his company was manipulating its search engine results to steer users to its own online services. Google has been accused of having a “monopoly” on search, claiming antitrust issues. During an investigation into complaints made by competitors, saying that Google is abusing its power and damaging competition, members of the Senate antitrust subcommittee asked Schmidt a few questions. Schmidt admitted the company might be a ‘monopoly’, but also portrayed Google as being passionately devoted to serving people as a search engine, offering the most helpful data and information on the Internet. The testimony given by Schmidt was reminiscent of the Microsoft incident in 1998, when the government launched a historic antitrust case against Microsoft, and questioned Bill Gates. After Schmidt's questioning, competitors of Google testified in a second panel, an arrangement requested by Google and accepted by the subcommittee, saying that Google has immense market power and uses this power for its gain. Google has 65 percent of the search engine market share, while its competitor, the search partnership of Yahoo Inc. and Microsoft Corp, is way behind. Google is also currently expanding its business domains such as adding travel data software and mobile phones, which could potentially make use of the search engine. Antitrust officials in the U.S., Europe, and Asia have all begun to ask questions about Google’s data collection practices.