EU Imposes $3.5 Billion fine on Google in Ad tech Antitrust Ruling
Brussels – The European Commission has levied a $3.5 billion fine against Google for anticompetitive practices in its digital advertising technology business, marking the second-largest antitrust penalty ever issued by the EU. The decision,announced today,concludes a year-long examination into Google’s alleged self-preferencing and exclusionary conduct in the ad tech supply chain.
The Commission found that Google systematically favored its own ad exchange services, disadvantaging rival companies and stifling competition.According to the EU, Google abused its dominant position between 2014 and 2019, manipulating ad auctions and extracting excessive fees. This action underscores the EU’s commitment to ensuring digital markets are “grounded in trust and fairness,” and that public institutions intervene “when markets fail” to prevent abuse of power by dominant players.Google has stated its intention to appeal the Commission’s decision. A Google spokesperson told The Wall Street journal, “there’s nothing anticompetitive in providing services for ad buyers and sellers, and there are more alternatives to our services than ever before.”
The proclamation was reportedly delayed from a planned September 1 date due to ongoing negotiations between the European Union and the United States regarding a potential trade deal. this fine follows a $5 billion penalty imposed on Google by the EU in 2018 for antitrust abuses related to its Android operating system.
The ruling has drawn criticism from beyond the tech giant itself. Former U.S. President Donald Trump voiced his disapproval on Truth Social, lamenting “manny othre Fines and Taxes” levied against American tech companies like Google and Apple. He threatened to initiate a section 301 proceeding to “nullify the unfair penalties” if the situation continued. trump recently hosted a televised dinner with tech executives, including Google CEO Sundar Pichai and co-founder sergey Brin, where Google’s leaders reportedly praised the former president’s policies, notably concerning artificial intelligence.
Meanwhile, Google experienced a partial antitrust victory in the United States this week. While a federal judge previously ruled Google illegally maintained a monopoly in online search, the remedies ordered fell short of the Justice Department’s proposals, which included possibly forcing the sale of Chrome and Android.The judge instead mandated Google relinquish exclusive search deals.
