Robert Besser
08 Feb 2025, 02:45 GMT+10
HONG KONG: China has launched an antitrust investigation into Google, marking another chapter in the tense relationship between the U.S. tech giant and Beijing.
The probe comes as part of China's retaliation against new tariffs imposed by U.S. President Donald Trump, escalating tensions between the two economic powers.
The Chinese State Administration for Market Regulation announced the investigation on Tuesday, just minutes after Trump's 10 percent tariff on Chinese imports took effect. The move follows other retaliatory measures, including tariffs on American liquefied natural gas and placing two U.S. firms on China's unreliable entity list, which could restrict their operations in the country.
While Google's core services-including its search engine, Gmail, and Chrome browser-are blocked in mainland China, the company still maintains a presence there. It operates offices in Beijing, Shanghai, and Shenzhen, primarily for sales, engineering, and cloud services.
Google initially entered China in 2006, launching google.cn, a censored version of its search engine that complied with Beijing's strict internet regulations. By 2009, it held about 36 percent of the search market. However, after a cyberattack and growing tensions over censorship, Google shut down its search engine in 2010, redirecting users to its Hong Kong-based site. Since then, China's Great Firewall has blocked Google services, along with other Western tech platforms like Facebook and Instagram.
Regulators did not specify details, but the timing suggests the probe is part of China's broader response to U.S. trade policies.
Antitrust expert John Gong from the University of International Business and Economics believes the investigation could focus on Google's Android operating system. Outside of Apple and Huawei, Google dominates China's smartphone market. Most Chinese phone makers pay licensing fees to use Android, which has been a point of contention for years.
"Now, this time, Google is put on the chopping board. But I think it is still an investigation, right? It has not reached a decision yet," Gong said, adding, "I think it's very much negotiable."
With limited details about the investigation, Google's immediate impact remains uncertain. The probe could take months to unfold and might serve as a bargaining chip in the ongoing U.S.-China trade war.
Google has faced antitrust scrutiny worldwide, including in the European Union, South Korea, Russia, India, and Turkey, for allegedly abusing its market dominance. Whether China's investigation will result in sanctions or business restrictions remains to be seen.
Get a daily dose of Miami Mirror news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Miami Mirror.
More InformationWASHINGTON, D.C.: President Donald Trump has granted TikTok another reprieve, extending the deadline for its Chinese parent company,...
WASHINGTON, D.C.: As the global weight-loss market explodes, drugmakers are now racing to solve a less visible problem: protecting...
HAYWARD, California: In a significant step toward its commercial debut, Amazon-owned Zoox has unveiled its first factory dedicated...
SAO PAULO, Brazil: Brazil is taking confident steps to restore its dominance in global poultry exports after declaring its commercial...
NEW YORK, New YorK - U.S. stocks closed mixed on Friday, with gains and losses modest, as investors and traders weighed up the escalation...
WASHINGTON, D.C.: Retail sales dropped sharply in May as consumer spending slowed after a strong start to the year, primarily due to...
WASHINGTON, DC - U.S. President Donald Trump how bowed to pro-Israel elements in his administration and Congress, announcing that the...
ZURICH, Switzerland: The Swiss National Bank (SNB) lowered its key interest rate to zero percent on June 19 to respond to falling inflation,...
WASHINGTON, D.C.: The U.S. government is preparing to revise its influential dietary advice, with a significant shift: dropping the...
ZURICH, Switzerland: The U.S. saw an extraordinary rise in wealth last year, with more than 1,000 people crossing into millionaire...
THE HAGUE, Netherlands: The city that prides itself on being a beacon of peace and justice—home to institutions like the International...
BUENOS AIRES, Argentina: Since taking office in December 2023, Argentine President Javier Milei has implemented sweeping austerity...