EU Fines Google €890 Million for Giving Preferential Treatment to Its Own Services
Google has been fined a total of €890 million ($1.04 billion) by the European Union after regulators concluded that the technology giant unfairly favored its own apps and services over those of competitors.
The penalties mark the first major enforcement action against Google under the European Union’s Digital Markets Act (DMA), legislation introduced to curb the market power of the world’s largest technology companies and promote fair competition.
According to the European Commission, Google’s practices restricted consumer choice by giving its own services a competitive advantage in key areas, including online search and app distribution.
The total fine consists of two separate penalties.
Google received a €460 million fine after regulators found that its search engine gave preferential placement to the company’s own travel-related services, including flight and hotel booking options, ahead of competing platforms.
The company was also fined an additional €430 million over the rules governing its Google Play Store. The Commission said Google prevented app developers from directing users to cheaper offers available outside its own marketplace.
Google strongly criticized the ruling, arguing that complying with the EU’s requirements would reduce the quality of services available to European users.
Kent Walker, Google’s President of Global Affairs, said the company would be forced to remove features such as real-time pricing and direct availability for hotels, flights and restaurants from its search results, while also weakening security protections within Google Play.
He described the Commission’s approach as inconsistent with fair competition.
European officials rejected Google’s claims, insisting that the measures are designed to ensure dominant digital platforms do not use their market position to disadvantage rivals.
EU Competition Commissioner Teresa Ribera said companies should succeed based on the quality of their products rather than control over key digital platforms.
Similarly, EU technology chief Henna Virkkunen said the decision is intended to encourage greater competition and create more opportunities for innovation by other companies.
Industry analysts noted that the ruling came after months of delay, with some suggesting the European Commission initially sought to avoid escalating trade tensions with the United States.
Zach Meyers, Director of Research at the Centre on Regulation in Europe, said the Commission ultimately decided to proceed despite concerns over EU-US relations, arguing that delaying enforcement could have undermined the bloc’s regulatory credibility.
Google now has 60 days to comply with the Commission’s requirements or challenge the decision before the European courts.
The latest penalties add to a series of multibillion-euro fines Google has received from European regulators over the past several years in separate competition-related cases.
