The European Commission has fined Google €890 million (approximately $1 billion) for breaching the Digital Markets Act (DMA), marking the first penalty imposed on the company under the bloc’s landmark digital competition law. The fine relates to Google’s Search and Play Store practices, which regulators said unfairly disadvantaged rivals and limited consumer choice.
As per reports, the Commission imposed two separate penalties: €460 million for favouring Google’s own services, such as Shopping, Hotels and Flights, in Search results, and €430 million for restricting app developers from directing users to cheaper offers or alternative payment options outside the Google Play Store.
Media reports suggest that according to the EU, Google’s Search practices gave its own vertical services preferential visibility over competing platforms, while its Play Store policies prevented developers from freely communicating better offers to users, undermining fair competition in digital markets. Regulators have directed Google to bring its practices into compliance or risk additional penalties.
Google criticised the decision, arguing that the required changes could negatively affect user experience and make it harder for Europeans to access useful search features and secure app services. However, the company said it remains engaged in discussions with the Commission and has already begun testing changes to its Search and Play Store products to meet DMA requirements.
The latest action adds to a series of antitrust cases against Google in Europe over the past decade. The company has previously faced multi-billion-euro penalties related to Google Shopping, Android and AdSense, while the EU continues to scrutinise the practices of major technology “gatekeepers” under the Digital Markets Act.
