Archive | Tag: business model

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Perhaps the toughest shareholder question came from consumer advocate John Simpson, who asked Schmidt whether Google had agreed to a reported $700 million “kill fee” if Google’s $750 million acquisition of the mobile advertising company AdMob is rejected by government antitrust regulators. Schmidt neither confirmed or denied that number, but predicted the deal would be approved by the Federal Trade Commission, which is expected to rule in coming days.

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Those numbers might have gone unnoticed if not for a handful of critics who fear Google is becoming too dominant in its markets and is seeking to become too influential in Washington, D.C. Perhaps chief among those critics is John Simpson, a consumer advocate at the nonprofit Consumer Watchdog. Simpson says he would like to see the Justice Department launch a broad antitrust investigation of Google.

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Every month, Simpson comes to Washington to meet with staff on the Hill and regulatory agencies, journalists and corporate lobbyists. Simpson said he met last week with Jim Tierney, chief of the networks and technology section of the antitrust division of the Justice Department, and staffers about his petition for a broad investigation. Last year, he testified before Congress about privacy and competition concerns in Google’s book settlement.

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Privacy advocates argue that the bill’s exemption for “operational” collection of data–allowing those practices to take place under an “opt-out” rule–gives advertisers far too much leeway. “This bill really adopts an archaic and bankrupt ‘notice and consent’ regime that we all know doesn’t’ work,” says John Simpson, head of the Google Privacy and Accountability project at Consumer Watchdog.

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Privacy advocates panned the bill during a conference call this afternoon, suggesting its lack of opt-out requirements maintain the status quo. “This bill really adopts and endorses an archaic, bankrupt notice and consent regimen that we know does not work,” said a representative of ConsumerWatchdog.org.

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