On Monday, Google agreed to pay a A$55 million ($35.8 million) fine in Australia after the Australian Competition and Consumer Commission (ACCC) found that the tech giant engaged in anti-competitive practices. The Alphabet-owned company made deals with Australia’s largest telcos, Telstra and Optus, to pre-install its search app on Android phones, sidelining rival search engines.
Between late 2019 and early 2021, Google shared advertising revenue with Telstra and Optus to ensure its search app was pre-installed on Android devices. The ACCC stated that these agreements significantly harmed competition by limiting exposure for other search providers. Google has since ceased such deals and cooperated with the regulator to resolve the issue.
ACCC Chair Gina-Cass Gottlieb emphasised the impact, saying, “Today’s outcome created the potential for millions of Australians to have greater search choice in the future, and for competing search providers to gain meaningful exposure.”
Google agreed to pay a $35.8 million fine in Australia after the consumer watchdog found it hurt competition by paying the country’s two biggest telcos to pre-install its search app on Android phones, excluding rivals https://t.co/zON5yNeitr pic.twitter.com/R4H1yBDOLV
— Reuters (@Reuters) August 18, 2025Google admitted the arrangements affected competition and agreed to the A$55 million fine, which is now under review by the Federal Court. A Google spokesperson noted, “We are committed to providing Android device makers more flexibility to pre-load browsers and search apps, while preserving features that help them compete with Apple.” The resolution avoids prolonged litigation, showcasing cooperation between Google and the ACCC.
Telstra and Optus, the latter owned by Singapore Telecommunications, have also pledged not to sign similar agreements with Google since 2024, aligning with the ACCC’s findings.
The fine marks a challenging period for Google in Australia. Last week, a court largely ruled against Google and Apple in a lawsuit by Epic Games, accusing both of blocking rival app stores. Additionally, Google’s YouTube was recently included in a ban on social media platforms, allowing users under 16, reversing an earlier exemption.
