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Press Release

Santa Monica, CA — Genentech Board Chairman Arthur D. Levinson should
quit as a director of either Internet giant Google or Apple to avoid
antitrust violations, Consumer Watchdog said today, following the
resignation of Eric Schmidt from the Apple board. The call from the nonprofit, nonpartisan consumer group came after the
announcement that Google Chairman and Chief Executive Eric Schmidt, who
held the same dual role, was stepping down from Apple’s board.  The
Federal Trade Commission has been investigating for several months
whether Apple and Google had violated antitrust laws by sharing two
directors.

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News Clipping

Microsoft and Yahoo finally tied the knot, but they signed an expansive pre-nup to limit antitrust scrutiny. Vocal Google critic Consumer Watchdog didn’t denounce the deal
outright, noting that "some have suggested" that the tie-up may
increase competition against Google. But the Microsoft-Yahoo deal is a
chance for regulators to "set to the gold standard for privacy
guarantees by Internet companies and for the government to use its
leverage to obtain it," it said. Consumer Watchdog’s John Simpson said
the FTC should take a strong lead on privacy matters. "If the result of
this deal is that there are two stronger Internet search enterprises
who exploit users’ data at the expense of their privacy rights,
consumers are worse off, not better," he said. "Justice and the FTC can
— and must — insist on this."

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John Simpson, an advocate with non-profit group Consumer Watchdog, also
said the Microhoo deal must be closely scrutinized by the Federal Trade
Commission, the Justice Department and the European Commission to
ensure that there are no antitrust violations and that user privacy is
guaranteed. "If the result of this deal is that there are two stronger Internet
search enterprises who exploit users’ data at the expense of their
privacy rights, consumers are worse off, not better," said Simpson.
"Users must have control of their data—whether it is collected and how
it is used. Guarantees of that control must be in place before this
deal is approved. Justice and the FTC can—and must—insist on this."

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Microsoft and Yahoo clearly are bracing for regulatory scrutiny. The news release emphasized that the two companies will "continue to compete vigorously" in other areas, including e-mail, instant messaging and display advertising. It also stressed that the agreement restricts the sharing of search and other data.
Consumer Watchdog in Washington, D.C., called on the Justice Department and Federal Trade Commission to probe the deal for potential antitrust violations and privacy concerns.

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Three-Into-Two Doesn’t Wash

Consumer Watchdog noted the competitive search and advertising
landscape will deteriorate – not improve – if the result is two
enterprises that exploit users’ data at the expense of their privacy
rights. John Simpson, an advocate with the group, said the FTC and DoJ must
insist users retain control of their data, how it’s used, and where its
stored. "Users must have control of their data – whether it is collected and
how it is used. Guarantees of that control must be in place before this
deal is approved. Justice and the FTC can – and must – insist on this,"
he said in a statement.

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Press Release

Santa Monica CA — The proposed 10-year partnership on Internet search
and search advertising between Microsoft and Yahoo! must be closely
scrutinized by the Federal Trade Commission and the Justice Department
to ensure there are no antitrust violations and that user privacy is
guaranteed, Consumer Watchdog said today.

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The Department of Justice confirms its investigation into whether Google’s $125 million Book Search settlement violates U.S. antitrust laws. Opponents fear the agreement gives the search engine giant too much power in the digital book world. The fairness hearing is set for Oct. 7, 2009. "The fact that the Justice Department decided to formally notify the
judge in the Google Book Search class action settlement that it is
investigating the deal is an important development," consumer advocate
for Consumer Watchdog John Simpson said in an e-mail to eWEEK.

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Paul Aiken, executive director of the Authors Guild, also predicted
the settlement would "pass muster" because it opens up new markets. But
those concerned about the settlement said they were pleased with the
Justice Department’s letter. "This is now a clear step that they are
taking the matter seriously." said John M. Simpson, an advocate for
Consumer Watchdog, a non-profit consumer group.

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