Google has agreed to pay a fine of 55 million Australian dollars (about $36 million) after admitting to entering anticompetitive agreements with Australia’s two largest telecommunications firms, Telstra and Optus.
The announcement was made on Monday by the Australian Competition and Consumer Commission (ACCC), which said Google’s actions breached competition rules in the digital market. According to the regulator, the agreements were signed by Google’s Singapore-based Asia Pacific division and covered a period of 15 months until March 2021.
The contracts prevented the installation of rival search engines on Android smartphones sold by Telstra and Optus to customers. This effectively gave Google exclusive control as the default search engine on those devices, leaving users with limited choice. In exchange, Telstra and Optus received a share of advertising revenue generated from searches carried out through Google Search.
The ACCC said the practice unfairly restricted competition and harmed consumer choice in the digital space. “By securing exclusive pre-installation of its search engine on Android devices, Google reduced the ability of competitors to reach consumers and denied Australians the benefits of fair competition,” the regulator stated.
The fine, which amounts to around ₦56 billion in Nigerian currency, is one of the largest competition-related penalties imposed on a tech company in Australia. The regulator added that it serves as a warning to other technology giants operating in the country.
Google, which has faced antitrust investigations in the United States, Europe, and Asia, admitted to the conduct but said it had already ended the agreements in 2021. The company also pledged to continue cooperating with regulators to ensure compliance with local competition laws.
Industry watchers noted that the case highlights growing scrutiny of Big Tech companies and their influence in global markets. Across many countries, regulators are increasing pressure on digital platforms like Google, Apple, Amazon, and Meta to limit practices that could reduce fair competition.
For consumers, the case underlines the importance of digital rights and the ability to freely choose services. Experts say that while Google remains the dominant search engine worldwide, authorities are working to prevent it from using its market power in ways that block innovation or limit competition.
The fine also reflects broader international efforts to regulate how large technology companies engage with telecoms operators, app developers, and hardware manufacturers. Analysts believe similar cases may emerge in other regions as regulators study the methods used by tech giants to maintain market dominance.
The ACCC said it will continue to monitor Google’s activities in Australia to ensure compliance and to protect both consumers and competitors. Meanwhile, Telstra and Optus have not been penalised but were required to cooperate fully with the investigation.
Google has yet to issue a detailed public statement on the settlement beyond acknowledging the penalty. However, the company said it remains committed to supporting Australia’s digital economy while respecting the rules of fair competition.
