EU’s Highest Court Ruling on Android Auto Antitrust Case Could Accelerate Interoperability Demands

The EU’s highest court has clarified interoperability rules for Big Tech in a case concerning Google’s Android Auto platform.

In 2021, Italy’s competition authority fined Google €100 million for blocking Enel X Italia’s third-party electric car charging app from integrating with Android Auto. Google argued the restriction was necessary to prevent driver distractions, despite allowing thousands of other apps access. The regulator ruled that Google’s actions harmed competition by limiting Enel’s ability to attract users.

On Tuesday, the Court of Justice of the EU (CJEU) upheld this view, affirming that denying interoperability in a dominant market position can constitute antitrust abuse. Although Google later developed a template for charging apps, resolving the case, the ruling sets broader conditions for tech giants regarding interoperability.

Security, Technical Constraints, and Template Limitations

The court acknowledged that refusal may be justified if no template exists for the app category, if granting access compromises platform security, or if technical limitations make interoperability impossible.

If none of these exceptions apply, the ruling requires platform operators to fulfill interoperability requests within a “reasonable and necessary” timeframe. The court also noted that, in some cases, an “appropriate” financial compensation may be warranted.

Regarding payments, the court’s press release emphasized that any compensation must consider the needs of the requesting third party, the actual cost of development, and the dominant company’s right to a fair return.

In response to the ruling, Google spokesperson Jo Ogunleye told TechCrunch that the company was disappointed with the decision. Google defended its Android Auto policies, stating that it prioritizes features based on user demand rather than individual company requests.

Prioritizing Impactful Features and Reviewing the Ruling

“While we have now launched the feature Enel requested, at the time of the request, it was relevant to just 0.04% of cars in Italy. We focus on developing features that benefit the most drivers,” the company said. “We’re disappointed with this ruling and will now review it in detail.”

The ruling comes amid broader European regulations on interoperability, such as the Digital Markets Act (DMA), which mandates interoperability for dominant tech companies. However, the DMA only applies to platforms formally designated as “gatekeepers” by the European Commission. While Google has been labeled a gatekeeper, Android Auto is not currently classified as a regulated core platform service.

Nevertheless, the CJEU ruling highlights that interoperability requirements can still impact major tech companies beyond the scope of the DMA.

Read the original article on: TechCrunch

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