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Calls for Genentech Inc.chairman Arthur Levinson to quit either the board of Apple Inc. or the board of Google Inc. are increasing, following on the heels of Monday’s news that Google CEO Eric Schmidt has stepped down from Apple’s board. Consumer Watchdog is a nonprofit, nonpartisan group that is also
pushing the U.S. Department of Justice and the Federal Trade Commission
to insist on guarantees of user privacy before agreeing to the 10-year
deal between Microsoft Corp. and Yahoo! Inc.

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John Simpson at the Consumer Watchdog, a non-profit organisation,
has applauded Mr. Schmidt’s move but at the same time criticised the
"clubby atmosphere" that prevails in Silicon Valley where everyone
seems to be on one another’s board.

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The resignation of Google’s Eric Schmidt as a director of Apple’s board
has failed to halt a government inquiry into possible antitrust
violations.

Mr. Schmidt stepped down because the search giant’s business increasingly competes with Apple’s. Former Genentech CEO Arthur Levinson still serves on both boards. Consumer Watchdog has called for him to step down from either Google or Apple to avoid antitrust violations.

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Google CEO Eric Schmidt’s resignation today from Apple’s board underscored that it when comes to business, competition is thicker than friendship. Meanwhile, a consumer group, Consumer Watchdog, on Monday called on
Genentech Board Chairman Arthur Levinson, who sits on the boards of
Google and Apple, to quit one of them to avoid antitrust violations. In addition to conflicts that could arise from sitting on the boards of
competing companies, Genentech is an investor with Google in the
genetic testing company 23andMe run by Anne Wojcicki, wife of Google
co-founder Sergey Brin.

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Consumer Watchdog Wants Genentech Exec To Quit Google Or Apple Board

Consumer Watchdog, formerly known as the Foundation for Taxpayer and
Consumer Rights, called on former Genentech CEO Arthur Levinson to pick one board or the other. ?It
took Eric Schmidt far too long to realize that the two roles are
incompatible. That’s not surprising considering the clubby atmosphere
of Silicon Valley,? said John M. Simpson, a Consumer Watchdog consumer
advocate, in a written statement. ?Nonetheless, we’re glad Schmidt
finally did the right thing. We call on Levinson to act responsibly and
choose one company or the other.?

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WASHINGTON, D.C. — The U.S. Federal Trade Commission said it will
continue to investigate the relationship between the boards of Apple
Inc. and Google Inc., after Google’s chief, Eric Schmidt, quit Apple’s board on Monday. A consumer rights group criticized Schmidt for taking too long to leave
Apple’s board, and called on former Genentech CEO Arthur Levinson to choose either Apple or Google. "Nonetheless, we’re glad Schmidt finally did the right thing," Consumer
Watchdog said in a statement. "We call on Levinson to act responsibly
and choose one company or the other."

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Now that Google chairman and chief executive Eric Schmidt no longer
serves on the board of Apple, an industry group is calling for
Genentech chairman Arthur Levinson to choose sides. As of
Sunday, both Levinson and Schmidt served on the boards of both Apple
and Google. Now Levinson is the only one to straddle both boards, a
position that Consumer Watchdog said also presents a conflict of
interest.

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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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