It’s common knowledge that Google is a giant company that heavily dominates the search industry market share along with it’s domination in many 0ther key products like Gmail and Google Reader to name a few. Google CEO Eric Schmidt, however, had to come out to Capitol Hill in September to answer a few questions from the Senate Judiciary Antitrust Subcommittee about whether Google is anti-competitive. PC Magazine has posted his answers and he has quite a few interesting things to say.
Here are some of the key excerpts:
Google Is Not Dominant in Search:Â Sen. Richard Blumenthal asked Schmidt to explain why Google should not be characterized as a monopoly since it is “overwhelmingly dominant” and has only one rival. Schmidt said he disagrees that Google is dominant and said instead that the company has worked “very, very hard’ and been blessed with some good luck. Stats released by the likes of comScore and Hitwise give Google about 65 percent of the search market, but that doesn’t tell the whole story, he said. “I am confident that Google competes vigorously with a broad range of companies that go well beyond just Microsoft’s Bing and Yahoo, and that Google has none of the characteristics that I associate with market power.”
Let’s Hear It For Bing:Â In arguing that Google does in fact face competition in search, Schmidt said Microsoft’s Bing has “in two short years” reached the size the Google was at in 2007.
Mobile? Also Not Dominant:Â ”Google does not have a dominant position in the smartphone market. According to comScore, Android operates on only 34.1 percent while Apple’s iOS runs on 43.1 percent. Moreover, competition in the market for mobile software platforms is fierce,” Schmidt said.
Do you believe what he has to say? Here’s a bonus tidbit about Siri:
Siri is Cool:Â In backtracking on a quote in which he said Apple was not a competitive threat, Schmidt pointed to Siri, which he called a “significant development.” He went on to say that “Google has many strong competitors and we sometimes fail to anticipate the competitive threat posed by new methods of accessing information.”
The answers sound a little too diplomatic but the praise towards Bing is admirable. There’s a few more questions on the original article.
Thoughts?
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