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Russian antimonopoly regulator: Amount of fine for Google may be announced on May 31

May 11, 17:47 UTC+3
According to the regulator, Google as the owner of the Android OS can pay a fine ranging from 1% to 15% of its revenues on the Russian market in 2014
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© AP Photo/Paul Sakuma

MOSCOW, May 11. /TASS/. Consideration of the case on the administrative violation of Google Inc. was postponed to May 31, 2016 in connection with the respondent’s petition, representative of the Russian Federal Antimonopoly Service (FAS) Elena Zaeva told TASS on Wednesday.

It was expected earlier the final amount of the fine for the corporation’s violation of Russian competition laws will be announced today.

In March 2016, the Russian Federal Antimonopoly Service (FAS) initiated administrative proceedings against Google to determine the amount of fine under part 2 article 14.31 of the Russian Code of Administrative Offences. According to the article, in view of the abuse of dominant position on the market of operating systems for mobile devices in Russia, Google as the owner of the Android OS can pay a fine ranging from 1% to 15% of its revenues on the Russian market in 2014.

In January 2016, Head of FAS Igor Artemyev said Russia’s competition law violation penalty for US Google Corporation will most likely amount to 7% of the turnover in 2014 with addressed inflation. According to Artemyev, the fine will most likely be 7% of the annual turnover, subject to various factors and aggravating circumstances: protraction of process, etc.

On September 14, 2015, the Federal Antimonopoly Service ruled that Google Inc. and Google Ireland Ltd. had breached the competition protection law under the complaint of the Russian Internet company Yandex. According to the regulator, Google obliged manufacturers of Android OS-based devices to pre-install its applications together with Android platform. FAS said that Google’s policy restricted installation of applications by other developers. Google did not agree with the ruling and appealed to the court.

Google did not agree with FAS decision and appealed to the court. On February 5, 2015, the Court brought Yandex as a third party in the case and decided to hold hearings behind closed doors. On March 14, the Moscow Arbitration Court has dismissed the lawsuit Google filed against Russia’s FAS.

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