Google has been found guilty in a Russian antitrust probe initiated by Yandex earlier this year, reports Vedomosti [in Russian].
Russia’s Federal Antimonopoly Service (FAS) recognized that Google restricts the competition in the market of app stores. Agreeing with Yandex that Google is forcing manufacturers of mobile devices on the Android operating system to give up preset applications that compete with the products. In other words, Google was found guilty of “abusing its dominant market position”. Yandex believes this can help to restore the competition on the mobile market.
Google is expected to be fined with the amount of 1-15% of their turnover in the market where the law violation occurred. “Since we are talking about the market pre-installed app stores, the punishment may not be imposed on the Russian entity of Google, but rather on Google Inc. and Google Ireland,” reports Vedomosti.
This is quite a big ruling since it can lead to similar verdicts in other markets around Europe as well.
The stock exchange was not late to react on the news and Yandex shares soared over 7% on Nasdaq following the regulator’s decision reports NASDAQ.
The personal data localization law obliging foreign companies operating in Russia to process and store personal data they collect about Russian citizens and residents on the Russian territory goes into effect today.
A lot of large companies, such as Google, PayPal, eBay, and many others, started moving their servers to Russia already in the beginning of the year, however according to the Russian Association of Electronic Communications (RAEC), only 54% of all marker players are ready to comply with the new law at the moment.
RAEC created a portal [in Russian] where they accumulated a lot of information about the law, what it means for companies and consumers, as well as implications for non-compliance. If you haven’t moved your servers to Russia, we urge you to check it out in order to assess the risks.
Bonus: Russia Beyond the Headlines shared this useful inforgaphic that nicely summarizes the situation as of today.
Yesterday I read something, as I thought at first, totally ridiculous, but it seems to be happening for real. In Belarus from today it is forbidden to provide any kind of services or sell any kind of goods on the Internet from a website with any other top level domain than .BY.
Cnews.ru reports that according to the new law companies and individuals will be administratively punished for doing business with foreign sites. Even Internet cafes providing access to forbidden sites will be forced to pay fines. The fine for violating this law will be up to 30 “units”, which is currently 1,05 million Belarusian rubles, which is approximately 120 USD.