Google finds itself in hot water once again as its employee communication practices face intense scrutiny in ongoing antitrust investigations. While the tech giant recently celebrated a rare victory in overturning a €1.49 billion fine from the European Commission, its legal challenges continue to mount on multiple fronts.
Communication Tactics Raise Red Flags
Recent court proceedings have revealed that Google employees frequently labeled emails as privileged and confidential and used off the record chat messages, even after being instructed to preserve communications for investigators. This behavior has caught the attention of the U.S. Department of Justice (DOJ), which argues that these tactics could be seen as attempts to hide potentially damaging information.
Former Google executive Chris LaSala testified that the company's chat system had message history turned off by default, requiring manual intervention to preserve substantive work conversations. LaSala admitted to instructing colleagues to use off the record chats, stating it was just how we spoke and that his MO was mostly off the record.
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| A chat discussion between Google employees about how to communicate potentially sensitive information |
Potential Consequences
These communication practices could backfire spectacularly for Google. If the judge presiding over the company's second antitrust trial believes that evidence was intentionally destroyed, it could lead to an adverse inference – essentially assuming that the missing documents would have been detrimental to Google's case.
Google's Defense and Ongoing Challenges
Google spokesperson Peter Schottenfels maintains that the company takes its document preservation obligations seriously, stating, We have for years responded to inquiries and litigation, and we educate our employees about legal privilege.
However, the tech giant faces an uphill battle as it contends with multiple antitrust investigations and lawsuits:
- A recent U.S. court ruling found Google in violation of antitrust laws regarding exclusivity deals.
- The DOJ has filed a complaint accusing Google of attempting to control digital advertising tools.
- A €2.4 billion fine from the European Commission was recently upheld on appeal.
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| An email from a Google sell-side executive reminding colleagues to “communicate with care” about sensitive topics |
A Rare Victory Amidst Setbacks
In a small piece of good news for the company, Google successfully appealed a €1.49 billion fine imposed by the European Commission in 2019. The General Court, while agreeing with most of the Commission's findings, stated that there was insufficient evidence to prove that Google's actions had deterred innovation, maintained its market dominance, or harmed consumers.
As Google navigates this complex legal landscape, the outcome of these investigations and lawsuits could have far-reaching implications for the company's business practices and its dominant position in the tech industry.