Google, a subsidiary of Alphabet, has agreed to pay $8 million (around Rs 66 crore) to settle allegations of deceptive advertising practices in Texas. The settlement was announced by Texas Attorney General Ken Paxton on Friday, and the case highlights ongoing scrutiny of the company’s practices by both federal and state authorities.
Google, which is known for its search engine and advertising services, also develops Android smartphone software and owns YouTube. However, the company has faced accusations of antitrust violations and consumer protection infractions, leading to two antitrust lawsuits from the federal government. In this instance, Paxton’s office claimed that Google hired radio announcers to promote the Pixel 4 smartphone, even though the company had refused to allow them to use one of the phones. The attorney general emphasized the importance of truthful advertising in his statement on the settlement.
“If Google is going to advertise in Texas, their statements better be true,” Paxton said. “In this case, the company made statements that were blatantly false, and our settlement holds Google accountable for lying to Texans for financial gain.”
Google responded to the settlement with a statement affirming its commitment to compliance with advertising laws. “We take compliance with advertising laws very seriously, and we are pleased to resolve this issue,” said spokesperson Jose Castaneda.