Google LLC is investing $500 million over the next decade to significantly improve its regulatory compliance program. This substantial investment comes as a settlement for a shareholder lawsuit filed in 2021, accusing Google of anticompetitive practices and breaches of fiduciary duty. The lawsuit alleged that Google's business practices, particularly concerning contracts with third parties, led to anticompetitive behavior in search, advertising, and mobile app markets.
The proposed overhaul includes the creation of a new risk and compliance committee, supported by two additional committees focused on vice presidents and product team managers. Google will also upgrade its internal compliance policies, including complaint processing and partner compliance measures. These changes aim to address not only antitrust concerns but also broader regulatory compliance across the company.
The settlement, which requires court approval, represents a comprehensive restructuring of Google's compliance function. The company maintains that it has already dedicated considerable resources to compliance, but this significant investment demonstrates a commitment to avoiding further protracted litigation. The changes are expected to remain in place for at least four years.
