EU Fines Google €890 Million for Abusing Search Dominance

The European Commission (EC) has fined Google €890 million (approximately $1 billion) for abusing its dominant position as a search engine, in violation of the Digital Markets Act (DMA). According to the EC, Google unfairly promoted its own shopping, travel, games, and other services by placing them at the top of search results while pushing rival services further down. Additionally, Google prevented developers from informing users about alternative payment options on Google Play, which would have reduced Google's fees. These actions breach the DMA, enacted in 2022 to curb Big Tech's market power abuse.

Google has 60 days to comply with the decision or face additional penalties of up to 5% of its global turnover. Kent Walker, Google's chief legal officer, criticized the ruling, stating it would harm European users and degrade product quality rather than foster fair competition. "Regulation should improve products, not make them worse," he said.

The fine represents less than 1% of Google's quarterly profit of $112.1 billion. EU officials denied any link between the timing of the announcement and expected U.S. tariffs. Observers are awaiting the U.S. government's response, as lawmakers have urged the president to take decisive action against EU regulation of American tech firms. Notably, U.S. regulators have also targeted Google for similar anticompetitive practices. Last year, a court ordered Google to share search data with rivals, and in 2024 it was declared a monopolist. This fine is far smaller than previous EU penalties: $4.7 billion for Android antitrust violations and $2.8 billion for shopping search monopoly.