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European Commission Slaps Google With €890 Million Fine Over Search and Play Store Practices

European Commission Slaps Google With €890 Million Fine Over Search and Play Store Practices

The European Commission has imposed a €890 million ($1 billion) fine on Google for violating the European Union’s Digital Markets Act (DMA), marking the company’s first major financial penalty under the landmark legislation aimed at curbing the dominance of Big Tech platforms. The decision underscores the EU’s continued push to enforce fair competition in the digital economy.

The penalty is split into €460 million for Google’s search business and €430 million for practices related to the Google Play Store. EU regulators found that Google unfairly promoted its own services—including shopping, hotel, travel, and sports results—ahead of rival platforms in search results. Separately, the Commission concluded that Google restricted app developers from directing users to cheaper subscription and payment options outside the Play Store, limiting consumer choice and competition.

European Commission Executive Vice-President for Competition Teresa Ribera said the Digital Markets Act is intended to ensure that dominant digital platforms compete fairly and do not leverage their market power to disadvantage rivals. The Commission has ordered Google to modify its business practices within 60 days or face additional periodic financial penalties that could reach up to 5% of its average daily global turnover for continued non-compliance.

Google strongly rejected the findings, arguing that the Commission’s interpretation of the DMA forces changes that could degrade the quality of its products, reduce user security, and make services less useful for European consumers. The company indicated it is likely to challenge the decision through legal channels while continuing discussions with regulators on possible compliance measures. Google also noted that it has already introduced several modifications to search result displays and Play Store policies in response to earlier regulatory concerns.

The latest ruling adds to Google’s long history of antitrust disputes in Europe. Since 2017, the company has faced multiple EU competition penalties involving Google Shopping, Android, AdSense, and digital advertising, with cumulative fines now exceeding €10 billion. Earlier this month, the EU’s highest court upheld a €4.1 billion Android antitrust penalty against the company, reinforcing Brussels’ tough stance on competition enforcement.

The decision is also expected to intensify transatlantic tensions. U.S. officials and lawmakers have previously criticized the EU’s regulatory actions against American technology companies, arguing they disproportionately target U.S.-based firms. European regulators, however, insist that the enforcement is based solely on ensuring open and competitive digital markets and applies equally to all designated “gatekeeper” platforms operating within the European Union.

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