Google to campaign against EU push for tougher rules against big tech
Technology giants are worried about the impact of new regulations on their business models
A leaked internal document from Google reveals that the company is planning to launch an aggressive campaign to counter the European Union's plans to introduce tough new laws aimed at curbing the power of big tech firms.
The EU is currently drafting the Digital Services Act (DSA), which will eventually replace an earlier directive introduced 20 years ago to govern online services in the region. The EU is expected to publish the draft document on the 2nd December.
The proposed act has triggered intense lobbying from big tech firms in the US, which are worried about the impact of new regulations on their business models.
According to Reuters, Google's 18-page document discusses the strategy intended to remove unreasonable constraints to Google's business model and its ability to improve products or roll out new features/services.
As part of the proposed 60-day strategy, Google suggests that its peers - including some European tech firms - reach out to the US government and embassies and explain to them that new rules could impact transatlantic relations in future.
The document also advises explaining the costs of the EU's tougher rules on European businesses and customers.
"As we've made clear in our public and private communications, we have concerns about certain reported proposals that would prevent global technology companies from serving the growing needs of European users and businesses," Karan Bhatia, vice president of global government affairs and public policy at Google told Reuters.
Lawmakers in Brussels have become increasingly concerned about the growing powers of some big tech firms in recent years. They believe that these companies have been abusing their power to stifle market competition.
European legislators now want to force such companies to change their business practices, without the need to conduct lengthy investigations or to prove that they have violated guidelines.
Last month, EU commissioner Thierry Breton told the Financial Times that the EU was seeking new powers to penalise big tech firms.
Breton said that the proposed plan, which will only be used in extreme conditions, includes breaking up technology companies or asking them to sell some of their operations in the region.
Such measures would be taken only if it is found that a firm's market dominance is threatening the interests of consumers and smaller competitors. In rare circumstances, such companies could also be blocked from entering a specific market.
Earlier this month, Reuters reported that technology giants - including Google, Facebook, Amazon and Apple - could be forced to share their customer data with smaller competitors, under new EU rules.
The early draft of the DSA suggests that the EU wants big tech firms to stop giving preferential treatment to their own services on their platforms or sites.
It also emerged this month that EU regulators are preparing a 'hit list' of up to 20 large technology platforms that may find themselves subject to new and tougher regulations compared to their smaller rivals.
According to the FT, the proposed hit list will be based on parameters including total number of users and market share.
The US Department of Justice is also reportedly considering a plan that could force Google to spin off or sell some parts of its business, including its popular Chrome browser.