Internet industry group Competitive Enterprise Institute (CEI) has criticized Google's recently hit $22.5 settlement with the Federal Trade Commission (FTC) over privacy.
The FTC on August 9 announced that Google had agreed to settle with the agency over charges that it sidestepped Safari Web browser's privacy settings that blocked cookies.
The CEI, which is dedicated to promote competitive innovation on the Internet, argued that the settlement would chill Internet innovation and hurt online startups.
The industry group said in a statement that the decision would set "a dangerously overbroad precedent that will chill Internet innovation and hurt online startups."
As part of the settlement, Internet search giant Google didn't admit any wrongdoing.
The search and information giant was exploiting a loophole that allowed its cookies be installed through adverts on popular websites, even if Web users' browsers had not given it consent to do so.
Google has claimed no personal information was gathered during the incident.