Google confirms FTC 'discussion' pending over Schmidt-Apple relationship

Correction at 2:50 p.m. PDT: This story initially misquoted Kent Walker. He confirmed that Google was aware of a "pending FTC discussion" into Schmidt's board seats.

MOUNTAIN VIEW, Calif.--Google confirmed that the Federal Trade Commission plans to hold discussions with the company over a possible conflict of interest due to CEO Eric Schmidt's participation on both Google and Apple's board of directors.

In response to questions posed by reporters during a lunch meeting with Google executives--including Schmidt--Google vice president and general counsel Kent Walker confirmed that Google was aware of a "pending FTC discussion" into Schmidt's board seats, which was reported earlier in the week by The New York Times.

Google does not believe Schmidt's role on Apple's board presents a problem, and encourages company members to participate on boards, said David Drummond, Google's chief legal officer and senior vice president for corporate development.

Schmidt reiterated that he recuses himself from discussions inside Apple that involve areas in which the companies overlap, such as the iPhone. When asked if he recuses himself from any other discussions inside Apple, he said "not that I recall."

[Pete Bardo]

An interesting note here is that the new AdWords interface strongly advises against using Safari--Apple's web browser. I wonder if Schmitt recuses himself from discussions of that software as well. I guess he just doesn't remember.

[kgsbca]

so what could apple and google possibly be colluding on? browsers that they give away for free? certainly not phones, they seem to be competitors. why are they looking at this particular connection? Every publicly traded company has executives from companies in related industries on their boards, why this one? Is it that hollywood or the phone companies are jealous of their success, and want to create trouble for them?

What a waste of money.

[theobstruction]

If Apple doesn't care, and Google doesn't care, and both parties have competing products (no monopoly), then why is the FTC wasting our tax dollars? I hate Big Government more everyday.