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Alphabet Inc (NASDAQ:GOOG) Compelled To Comply With EU Search Demands To Avoid Hefty Fines

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The stock of Alphabet Inc (NASDAQ:GOOG) closed at $921.29 gaining 0.82% in yesterday’s trading session. The company has promised to comply with Europe’s demands and it will soon be transforming the way it runs its shopping search service. The internet giant has indeed bowed to the regulatory pressure but one of its executives said that such instances were quite rare.

Tuesday was the set deadline for Alphabet Inc. unit to present to the European Union exactly how it intended to follow its order. The union had made a ruling outlining that the company was supposed to stop discriminating against rival shopping search services in the region. A Google spokeswoman has revealed that the company will have completed sharing its plan with the regulators before the expiry of the deadline. He frustrated further efforts to get him to comment further regarding the matter.

In late June, EU fined the company a record 2.4 billion euros ($2.7 billion) after it defied the antitrust rules. Google had skewed its general search results, a matter that resulted in the provider unfairly favoring its own shopping service over rival sites.

The company had been given about 60 days within which it was expected to have proposed exactly how it would move about stopping its illegal content. 90 more days were added within which it was required to implement the changes. This was in line with the way it wanted to move about displaying its shopping results, especially while users were making the numerous product searches. The changes have until Sept. 28 to be duly implemented and will stave off the risk that the EU could fine Google 5 percent of daily revenue for every day it will show non-compliance.

Through an emailed statement, the European Commission opined, “The obligation to comply is fully Google’s responsibility.”However, it did not go ahead to stipulate exactly what the provider needed to do to comply.

Google will by all means try to seek out a solution that will satisfy regulators, who have over the years found themselves in fierce battles with some of the world’s most renowned companies.

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