Canada’s antitrust regulators scrutinizing Google

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SAN FRANCISCO (AP) — Government regulators in Canada arepoised to open a formal investigation into
whether Google is abusing itsdominance of the Internet search market to stifle competition and driveup
digital advertising prices.Canada’s Competition Bureauindicated in a filing made in an Ottawa federal court
earlier this weekthat it suspects that Google Inc. has been breaking the country’santitrust laws. Regulators
are seeking a court order that would requireGoogle’s Canadian subsidiary to furnish antitrust investigators
withinternal company records.Based on its preliminary findings, thecommission "has reason to believe
that the manner in which Googleoperates its search engine and search-advertising platforms … amountto an
abuse of a dominant position," wrote Mark MacLachlan, a seniorcompetition law office for the
agency.Among other things,Canadian regulators believe Google has been giving preferentialtreatment to its
own services in its influential search rankings tothwart potential rivals. Investigators are also examining
whetherGoogle’s partnerships with other websites and device makers are makingit more difficult for rival
products to compete. Those concerns mirrorissues that have already been raised by regulators in other
countries."Wewill work cooperatively with the Competition Bureau to answer anyquestions they may
have," said Google spokeswoman Leslie Church. TheMountain View, Calif., company has consistently
defended its searchrankings as a form or free speech and denied doing anything to squashcompetition.Canada’s
Competition Bureau didn’t immediately respond to a request for comment late Friday.Regulatoryheadaches have
become a recurring pain for Google during the past fewyears. The company has cemented its position as the
Internet’s maingateway while expanding into other areas such as online video, digitalmaps, business reviews
and shopping that have gained traction with theassistance of a search engine that processes about two out of
everythree online queries..The U.S. Federal Trade Commission closed anextensive antitrust investigation into
Google’s methods earlier thisyear without finding any wrongdoing. Attorneys general in various statesare
still scrutinizing Google for possible anti-competitive behavior,but none have taken action against the
company.A broadinvestigation by European regulators remains open, though Google hasoffered to tweak the way
to it ranks some of its search results in anattempt to resolve the inquiry without facing financial
penalties.Canadaopened an informal inquiry into Google’s business practices in May,according to this week’s
filing. The probe hadn’t been previouslydisclosed.Copyright 2013 The Associated Press. All rightsreserved.
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