The Government has offered Australia's three mobile operators, and vividwireless, renewal of their existing spectrum allocated on 15 year licences in the late 90s and early 2000s at set prices, while the Government expects to rake in $3 billion.
read more
David Heath
Tuesday, 04 August 2009 10:14
"Tellingly, Google makes little effort to monetize these services that are often released in beta, with little interest or effort expended in making these products/services profitable. The most obvious predatory price in competition is free, especially when the price remains free indefinitely with no plans to turn these products/services into revenue producing units. Pro-competitive 'loss leaders' eventually lead to revenues and profits. There is precious little business effort by Google on this front. Why would a company continually innovate and indefinitely cross-subsidize products/services that have real costs – for free -- unless the real motive is to foreclose competition?
"More specifically, Google is expending surplus market power to create an adjacent 360° noprofit zone around Google by predatory free pricing and cross-subsidization of search complement products/services like: Checkout, Google Health, Android, YouTube, Blogger, Reader, News, Earth, Desktop, Calendar, Docs, Gmail, Social networking, photos, Translate, GOOG-411 etc."
The final comment rests with Bottin Cartographes' lawyer, Jean-David Scemama; "Google is ruining the market, their strategy is to capture the market and squeeze out the competition by creating a monopoly for itself."
I guess that would make sense if they could find a way to extract copious amounts of revenue from the products once the competitors were gone, but as Dana Wagner noted earlier, that's going to be neither easy or likely.
Google Australia declined iTWire's request to comment on this story.
Loading comments ...

|
Microsoft Office 365Try an easy-to-use set of web-enabled tools for business-class productivity services. Office 365 provides anywhere-access to email, important documents, contacts, and calendars on almost any device. |