Google ‘defrayal’ by Google costs $1.6bn


The number of Google ‘Google Defray’ contracts, which are part of the company’s new business model, is expected to reach $1bn this year, according to a report by PricewaterhouseCoopers (PwC).

The report, based on estimates by Priceline and Deloitte, estimates that Google’s contract cost of about $1 billion will be offset by an estimated $100m offset in expenses from its existing contracts, said the report.

The company’s costs have also been offset by its new business models, according the report, which noted that Google will continue to use its existing revenue streams in its business, with its current business model.

Pricewaterhead also said Google will be paying $300m per year in compensation for its top executives, including Larry Page and Sergey Brin.

Google declined to comment on the report when contacted by The Hindu.

The company has faced criticism in recent years over its business practices.

In February, Google was forced to apologise for its use of fake accounts in its search results.

The problem was identified by US authorities.

Google, which has more than 2,600 employees, has been accused of misleading investors, the media and consumers about its search technology, as well as of using its power over search results to limit competition.

It has faced numerous legal actions and lawsuits from rivals, including Apple, Amazon and Microsoft.

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