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Yandex May Keep Lead In Russian Market With Regulator Ruling Vs. Google

| Oct 06, 2015 04:29 AM EDT

Alphabet

The pro-Yandex decision made by the Russian regulator could tilt the phone market in Russia in favor of the local search engine company over Google.


The American tech giant currently holds 65 percent of the Russian market, according to Re/code.

The Verge reports that FAS, the Russian regulator, has ordered Google to change its policy that disallows its hardware partners to pre-install competing apps. The agency gave Google, which recently changed its corporate name to Alphabet, until Nov. 18 to change the policy limiting pre-installed apps to Android.

The ruling would allow installation of Yandex apps on Android phones out of the box. Yandex filed a complaint with the regulator which found in September that Google has abused its dominant position in the Russian market. The regulator has the power to fine Google if it would not comply with the decision.

The decision is on the heels of greater scrutiny on Google in other countries. The European Union accused Google of abusing its market position to promote the company's other services, while India is probing if Google manipulates search results in an anti-competitive way. Even in the U.S., the Federal Trade Commission investigated Google's practices that resulted in settlement and minor changes.

Ahead of the FAS decision, Google said it would bundle fewer of its apps and services. Russian device manufacturers use AOSP, an open-source version of Android that does not require the use of Google apps and services. 

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