Google fails to overturn $2.7 billion EU antitrust fine after 7-year battle
Google is no stranger to lawsuits, especially in the EU – it has been dealing with them quite a bit in recent years. But now, it has officially one less battle for the tech giant as it just lost a seven-year-long legal fight in court.
Google just took a major hit in its ongoing tussle with the European Commission. According to a new report, the EU’s highest court has upheld a massive $2.7 billion antitrust fine against the tech giant. The original fine was handed down in 2017 when the European Commission found Google guilty of using its price comparison shopping service to give itself an unfair edge over smaller competitors in Europe.
After losing its initial appeal in 2021, Google took its case to Luxembourg's Court of Justice of the European Union (CJEU). The company argued that the fine was a penalty for its market dominance and claimed the original ruling misinterpreted quality improvements as abusive practices. However, the CJEU backed the lower court’s decision, stating that while Google is permitted to hold a dominant market position, it is not allowed to misuse that power.
In addition to that, Google is also battling new antitrust charges from last year, which could potentially force the tech giant to sell off a portion of its highly profitable ad tech business. Regulators have accused Google of giving its own advertising services an unfair advantage.
Ever since the Digital Markets Act (DMA), which aims to foster a fairer and more competitive digital marketplace, kicked in, big tech names like Google, Apple, Meta, Microsoft, Amazon, and TikTok’s parent company ByteDance have been feeling the heat.
The EU isn’t just watching – it is ready to pounce with fines if these companies don’t play by the rules. Regulators are clearly determined to keep these tech giants in check, and it doesn't seem like the pressure is letting up anytime soon, even if one of Apple and Google’s key opponents in the EU, Margrethe Vestager, is stepping down. I think the message is loud and clear: fall in line or pay the price.
A massive $2.7 billion antitrust fine against Google
Google just took a major hit in its ongoing tussle with the European Commission. According to a new report, the EU’s highest court has upheld a massive $2.7 billion antitrust fine against the tech giant. The original fine was handed down in 2017 when the European Commission found Google guilty of using its price comparison shopping service to give itself an unfair edge over smaller competitors in Europe.
.@EUCourtPress also upholds @EU_Commission's decision on @Google Shopping.
— Margrethe Vestager (@vestager) September 10, 2024
It confirms that @Google favoured its own comparison shopping service and actively limited choice for European users.
Also a big win for digital fairness
Over the past decade, Google has been hit with a hefty €8.25 billion (more than $9 billion when directly converted) in EU antitrust fines. The company is currently challenging two major rulings related to its Android mobile operating system and AdSense advertising platform, with judgments still pending.
In addition to that, Google is also battling new antitrust charges from last year, which could potentially force the tech giant to sell off a portion of its highly profitable ad tech business. Regulators have accused Google of giving its own advertising services an unfair advantage.
The EU isn’t just watching – it is ready to pounce with fines if these companies don’t play by the rules. Regulators are clearly determined to keep these tech giants in check, and it doesn't seem like the pressure is letting up anytime soon, even if one of Apple and Google’s key opponents in the EU, Margrethe Vestager, is stepping down. I think the message is loud and clear: fall in line or pay the price.
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