Google: EU imposes multi-billion Euro fine

The European Union has imposed a fine of 2.95 billion euros on the US internet company Google. The reason for this is violations of the EU's competition rules in the advertising business. According to the EU Commission, Google has exploited its dominant market position since 2014 through »abusive practices in online advertising technology« to give its own products an unfair advantage. As a result, the company has, reported by Tagesschau, violated Article 102 of the Treaty on the Functioning of the European Union.

The Brussels authority sees a conflict of interest in Google's business model: the company not only places ads itself but also mediates between advertisers and providers of advertising space – through its own marketplace. Google has therefore been instructed to cease self-preferencing in the future. Since advertising is the conglomerate's primary source of revenue, the Commission has given Google 60 days to outline how it will adapt its business model to comply with EU regulations. However, Google has announced it will appeal the decision.

US President Donald Trump responded promptly to the fine, threatening countermeasures. This is not the first time Google has faced a multi-billion euro fine from the EU: since 2018, Google and its parent company Alphabet have been issued competition penalties totaling around eight billion euros. 

MK