June 28, 2017

Google Hit with $2.7 Billion Anti-Trust Fine

European Union Fines Google $2.7 Billion for Anti-Trust

CMS Wire

The European Union has fined Google $2.7 billion for anti-trust violations by favoring its own shopping services in search results.  This is just the start: the EU statement also said the commission has concluded that Google abused its dominant positions in the Android operating system and Adsense search advertising.  This cuts to the heart of Google’s business model, which is based on controlling access to its customers and data about its customers.  Amazon, Facebook, and Apple have the same model and could be vulnerable to similar attacks.  Interestingly, Google’s response said it was defending local merchants from exactly those other companies.

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Social Media Firms Announce Joint Effort to Block Terrorist Content

Reuters

Even as the EU attacks them and they battle each other for customer attention, Google, Facebook, and other social media leaders have announced plans to cooperate on removing terrorist content from their platforms.  It's more evidence of the powerful role they play in their customers’ lives.  And a not-so-subtle reminder to governments about that power.

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Meal Kits Will Expand Online Grocery Sales: NPD Group

NPD Group

Grocery is one of the few retail sectors that remained largely untouched by online competition.  Amazon may change that with its Whole Foods acquisition, but in the meantime we have meal kit subscriptions.  NPD Group finds adoption is still low – 5% of U.S. households – but will rise as prices come down and more young people enter the market.  Subscriptions are a key competitive weapon in the battle for share of customer, since let companies make sales without going through search engines or advertising.

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