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Jeff Katz

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Google’s VP counters anti-competitive allegations from Nextag CEO

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Google attempted to “set the record straight” today with a blog post aimed to dismantle rising anti-competitive claims against the world’s leading search engine.

The Wall Street Journal published a scathing post yesterday—penned by the CEO of online retailer Nextag—that essentially painted Google as a monopoly. No—Jeff Katz did not paint; he declared:

Google has enjoyed this unrivaled position for nearly a decade. It is the most popular search engine in the world, controlling nearly 82% of the global search market and 98% of the mobile search market. Its annual revenue is larger than the economies of the world’s 28 poorest countries combined. And its closest competitor, Bing, is so far behind in both market share and revenue that Google has become, effectively, a monopoly.

The company has used its position to bend the rules to help maintain its online supremacy, including the use of sophisticated algorithms weighted in favor of its own products and services at the expense of search results that are truly most relevant. […]

At my company, Nextag, a comparison shopping site for products and services, we regularly analyze the level of search traffic we get from Google. It’s easy to see when Google makes changes to its algorithms that effectively punish its competitors, including us. Our data, which we shared with the Senate Judiciary Committee on Sept. 21, 2011, shows without a doubt that Google has stacked the deck. And as a result, it has shifted from a true search site into a commerce site—a commerce site whose search algorithm favors products and services from Google and those from companies able to spend the most on advertising.


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