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FTC Reviews Google's Purchase of Navigation App Waze

Posted by samzenpus on from the taking-a-closer-look dept.

An anonymous reader writes "Google's acquisition of Waze has piqued the interest of the FTC and is now facing an antitrust review. "Google confirmed that it has been contacted by lawyers from the Federal Trade Commission over the company's '$1.1 billion acquisition of the mobile navigation company Waze, which closed in mid-June. A Google spokeswoman declined to comment on details of the antitrust review by the FTC. Representatives of the agency didn't immediately respond to a request for comment.'"

15 of 95 comments (clear)

  1. Shutting out competitor or buying up talent? by Anonymous Coward · · Score: 3, Interesting

    I guess the question is, is this Google trying to shut out a potential competitor (I don't see them being a real threat, the technology is easy to copy before they get too big), or simply buying up obvious top talent. I think its the later in my mind.

    1. Re:Shutting out competitor or buying up talent? by gl4ss · · Score: 4, Interesting

      I guess the question is, is this Google trying to shut out a potential competitor (I don't see them being a real threat, the technology is easy to copy before they get too big), or simply buying up obvious top talent. I think its the later in my mind.

      if it's like a normal google acquisition it's the latter - but will end up effectively as the former.

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      world was created 5 seconds before this post as it is.
    2. Re:Shutting out competitor or buying up talent? by msauve · · Score: 2

      Wayz does not build good maps. Its a one trick pony: Traffic reporting.

      Waze developed their own maps. The others who've done that are Navteq, TomTom (Tele Atlas), and Google.

      --
      "National Security is the chief cause of national insecurity." - Celine's First Law
    3. Re:Shutting out competitor or buying up talent? by Stiletto · · Score: 3, Insightful

      I'm sorry, what exactly makes Waze's talent "top" as opposed to any other software company out there that could get bought?

      And if Google is hurting for talent (something tells me it isn't), surely they could hire people for less than $12 million per head in this difficult job market.

      The only talented person in this transaction was whoever convinced Google to pay over $1.2B.

    4. Re:Shutting out competitor or buying up talent? by dwillden · · Score: 5, Informative

      Waze's maps on initial import from official sources are poor. But are rapidly exceeding the quality of the maps of services (including Google) which are built entirely by paid employees. Even Google's adoption of user editing has still lacked in the rapid update ability of Waze.

      When there are active editors in an area (a key criteria) the maps are accurate and update to match new construction far more quickly. When something significant happens (for example the Hwy 89 landslide in AZ back in Feb, or the bridge collapse in WA). Waze's maps are updated within minutes of the news being reported. Google was quick on the AZ slide but still trailed by a couple days. Waze had the road disconnect, implemented and updated into the live map within 24 hours, changing the routing instructions users received to take them on one of the alternate routes. (I know, I made the edits in Waze.)

      When I started with Waze I immediately liked it because of two new commuter routes that had been recently built, my Tom Tom still didn't have the older of the two routes even though it had been in existence for two years by then. Google had that one but another one that opened up just a couple weeks before was already mapped into Waze and Google didn't have it yet. Waze's maps are good, and if an area has active editors are more accurate than even Google's maps and overhead images.

      I do grant that in many areas there is still much to be done, but Waze's maps even in the areas needing work are improving faster than Googles.

      There are even countries with entirely user built road networks that are not only more complete but more accurate than what Google or anyone else has. Waze is NOT a one trick pony, live traffic reporting and on the fly re-routing is the primary reason for it's creation, but it has progressed beyond that point.

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    5. Re:Shutting out competitor or buying up talent? by Krojack · · Score: 2

      Which from my experience was very slow to apply those changes. Two of the major highways in my city raised the speed limit from 55 to 65 on one and 70 on the other. I submitted these changes and it took 1 1/2 years till they appeared in Waze. I was pretty shocked it took that long assuming they even looked at my submission.

  2. and i will be first to say by Anonymous Coward · · Score: 2, Informative

    piqued

  3. Who needed the other? by bogaboga · · Score: 5, Insightful

    Let me answer that:

    Google didn't need Waze. This is a purchase to keep Waze out of Microsoft or Apple's hands. They won't admit it but It must be painful for Microsoft because they are a Waze investor.

    1. Re:Who needed the other? by slimjim8094 · · Score: 2

      Why didn't Google need Waze? I mean, 'need' is a strong term, but are you asserting that they have no use for a mobile crowdsourced traffic service to go with their mobile map/directions service?

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    2. Re:Who needed the other? by kkwst2 · · Score: 2

      As others have pointed out, there are things that waze does better than google, such as the real time updates of map errors and traffic reports. Google maps has to wait for the traffic to start backing up, and that can occasionally screw you. Waze seems to sometimes be able to warn you before the cars really stack up.

      If google could integrate some of these ideas in improving the speed of real time updates, it could drastically improve the usefulness.

      Also, the rerouting functionality of google maps is pretty limited. There are very few routes it will tell you to choose. You can often figure others out by looking at the maps manually, but this is hard if you are by yourself.

      If they can integrate some of the better rerouting and real time update tech from Waze, I could see it being a significant improvement to the overall experience. Would certainly keep them well ahead of the race. Sure, they're already drubbing everyone else, but in this business you need to kick them when they're down.

  4. Analysis by OptimalCynic · · Score: 2

    There's a good analysis of it here: http://www.forbes.com/sites/timworstall/2013/06/23/links-23-june-the-unpredictability-of-the-law-ftc-to-probe-googles-waze-acquisition/

  5. Editors are fucking illiterate morons by Anonymous Coward · · Score: 5, Insightful

    "piqued"

    You fucking illiterate editors.

    1. Re:Editors are fucking illiterate morons by Anonymous Coward · · Score: 2, Funny

      Editors are fucking illiterate morons. "piqued"

      You fucking illiterate editors.

      Who cares if its piqued or peaked, the real bit of news is that the Slashdot Editors are fucking illiterate morons. But as we don't want illiterate morons to procreate, they better be using protection so that the illiterate morons don't have any children.

      Hey, don't complain OP, if you want to be a pedantic smartass, I'm allowed to be one too.

  6. Really?? by Outtascope · · Score: 2

    The same FTC that allowed Comcast to buy NBC? Now they are concern trolls?

  7. Horsecrap by The+Cat · · Score: 3, Interesting

    Disney didn't face any review when they bought Lucasfilm, Pixar and Marvel all within a few years of each other.