EU fines Google €890M for breaching Big Tech rulebook
Key Points:
- The EU fined Google €890 million for breaching the Digital Markets Act (DMA) and ordered changes to its search ranking and app store practices, marking the third major fine under the three-year-old law targeting dominant tech platforms.
- The €460 million fine addresses Google's self-preferencing in search results for shopping, hotels, transport, and sports, while the €430 million fine targets restrictions imposed on app developers in the Google Play Store, including steering fees and limiting users' access to cheaper offers.
- Google criticized the EU's decision, claiming it would degrade key features like real-time search pricing and safety protections on Play, and is considering an appeal; the company has 60 days to comply or face daily fines of up to 5% of Alphabet’s global turnover.
- The European Commission emphasized that the DMA aims to ensure fair competition and well-functioning markets rather than punishment, and noted ongoing negotiations with Google on compliance, including adjustments related to AI features.
- The ruling comes amid tensions with the U.S., which views EU tech fines as discriminatory, but EU officials maintain their enforcement is legally driven and independent of political pressure.