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Google created hurdles to protect smartphone foothold -small search firm

Published 09/27/2023, 04:27 PM
Updated 09/28/2023, 04:41 PM
© Reuters. FILE PHOTO: A woman holds her smart phone which displays the Google home page, in this picture illustration taken February 24, 2016. REUTERS/Eric Gaillard/Illustration/Files/File Photo
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By Diane Bartz

WASHINGTON (Reuters) - The founder of Branch Metrics, which developed a method of searching within smartphone apps, told a U.S. antitrust trial on Wednesday how his company struggled to integrate with devices because of steps Google took to block them.

The testimony came during the third week of a more than two-month trial in which the U.S. Justice Department is seeking to show that Alphabet (NASDAQ:GOOGL)'s Google abused its monopoly of search and some search advertising. Google has said that its business practices were legal.

Google is accused of paying $10 billion a year based on "revenue share agreements" to smartphone makers, wireless carriers and others who agree to make its software the default and maintain its monopoly in search.

Alexander Austin, a former chief executive of Branch Metrics, said in meetings with Samsung (KS:005930), the Android phone maker was worried Branch's tools would cause conflict with Google.

Austin said he would be contacted by Samsung during a launch in 2019 and told, "Oh, we need to cut this functionality because Google says it's, like, in conflict or there's a risk to the contract."

© Reuters. FILE PHOTO: An illuminated Google logo is seen inside an office building in Zurich, Switzerland December 5, 2018.    REUTERS/Arnd Wiegmann/File Photo

Specifically, Branch had to make sure that its searches remained within apps and never linked to the web.

The government also called Anna Kartasheva, a Google executive, to ask her about emails that appeared to show Google was concerned about the presence of Branch Metrics software on smartphones.

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