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European Commission He has imposed Billion dollar fine against Google On the alleged Competition law Violations.
An investigation by the European Commission found that Google abused its market dominance European Union Search markets and the App Store direct people towards its own apps and services, in violation of the European Union Digital Markets Law.
The authority ordered Google to refrain from giving preferential treatment to its own services – such as shopping, accommodation, transportation and flights – in search rankings. Google should also allow app developers to communicate and engage with users outside the Play Store, where possible He takes a commission on sales.
“The best products should succeed because they are the best, not because they are owned by the company that runs the search engine,” says Teresa Ribera, executive vice president at the European Commission. “European consumers have the right to have app developers tell them where to sign up for the best deals, even when the app store owner doesn’t get a cut.”
In a statement to WIRED, Google said it would consider appealing the penalty.
“This is not fair competition; it is product degradation driven by a small group of self-serving complainers, with European companies and consumers taking the hit,” says Kent Walker, Google’s head of global affairs.
Technology industry trade associations argue that strict enforcement of the Digital Markets Act is self-defeating. “Reducing the quality of what Europeans have access to is not a positive outcome,” Daniel Friedlander, senior vice president at CCIA Europe, tells WIRED.
The European Union brought numerous In billions of dollars Fines against Google in the past decade for a host of antitrust violations. In early July, European Court Upheld a record $4.1 billion fine It was sued against Google in 2018 over agreements requiring phone makers to install Google Search and the company’s Chrome web browser on their devices.
“The risks are certainly really high for companies,” says Catherine McMahon, associate professor of law at the University of Warwick. “The way they are categorized affects their business dramatically.” “The way EU competition law looks at it, companies in a dominant position – like Google – have a special responsibility not to distort competition.”
To address the latest complaints, Google has proposed changes to the way it runs the Play Store and presents its products in search rankings, which the European Commission described as “progress towards compliance.”
Recently, US President Donald Trump He pledged to impose steep new tariffs On European countries seeking to restrict American technology companies. The White House did not respond to a request for comment.
McMahon says the latest penalty is “a very strong response, in the context of transatlantic complaints — a way Trump can leverage fines.” “It shows the committee is willing to be tough.”
