Google-Microsoft clash over congressional hearing
The US Congress has called for a hearing on the impact of big technology companies on the local media. And in that hearing, a 'fight' has started outside the Congress over the mutual position between Google and Microsoft.
Microsoft has targeted Google's dominance in the advertising business, and the behaviour of this web giant has played a role in killing the media at the local level, according to a CNN report.
Microsoft has blamed Google "partially" for the hostile situation in the newspaper industry. Brad Smith, president of the software giant, explained in a written statement to the U.S. House Antitrust Committee that the company enjoys a monopoly on the online advertising business, as Google has virtually no competitors.
"It's not a question of whether Google is acting illegally," Smith said. "But as we learned directly from Microsoft's own experience two decades ago, when an organization's success reaches a point where it adversely affects the market and our society, that situation should not be ignored." And it usually requires government action. ”
Before the hearing, however, Google also took a hand on Microsoft. In a blog post, Google claims that the software giant is "speaking for its own interests" and is pursuing an aggressive blueprint against Google.
Kent Walker, senior vice president of global public relations at Google, commented in a blog post that "the latest attack has put Microsoft back on track." He did not stop there. In addition to public relations, this chief legal officer of Google has attacked Microsoft in the manner of a lawyer.
"It's no surprise that Microsoft is attacking Google at this time, especially when the Solar Winds phenomenon is in full swing. The company has set itself the target of attacking millions of its customers at the risk of direct hacking through their own security flaws. In fact, they are simply trying to get rid of the dirt on their shoulders. ”
A few weeks ago, Google and Microsoft were at odds over a law proposed by Australia. The law makes it mandatory for technology giants to share financial income with newspapers for news sharing. Although Microsoft gladly supported the law, Google has threatened to withdraw from Australia if such a law is passed. In response, Microsoft said that if Google removed itself from Australia, Microsoft's Bing would gladly do so.
The same concerns from which Australia enacted the new law are now echoing around the world and in the US Congressional Assembly, CNN reports.
Traditionally, antitrust laws have barred similar commercial entities from forming alliances so that they do not create monopoly influence in the form of syndicates. However, US Representative David Ceciline proposed a bill in Congress that would oppose the law. In that bill, the newspapers have been given an opportunity to form groups in order to collect revenue from the technology giants in an alliance.
Microsoft has supported the proposed bill. Brad Smith, the company's president, said: "Microsoft itself may be subject to this law. However, technology companies have an obligation to do more to support quality journalism. ”
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