The European Union has fined Google €890 million ($1 billion) for violating the bloc’s Digital Markets Act (DMA), marking the company’s first penalties under the landmark legislation aimed at curbing the market power of major technology firms.
The European Commission announced the sanctions on Thursday, imposing a €460 million fine over Google’s treatment of its own services in search results and a further €430 million penalty for restrictions within the Google Play app store.
According to the Commission, Google gave preferential treatment to its own shopping, hotel, transport and sports services in search results, disadvantaging rival platforms.
The regulator also found that Google prevented app developers from directing users to cheaper offers available through competing app stores or their own websites.
The latest penalties bring Google’s total antitrust fines in Europe to more than €10 billion over nearly two decades.
EU Competition Commissioner Teresa Ribera said the Commission was enforcing legislation designed to ensure fair competition.
“Our duty and obligation is to comply with the laws, that our laws are fully respected,” she said.
Google has been given 60 days to comply with the Commission’s orders requiring it to treat rival services fairly and remove restrictions affecting app developers.
The company criticised the decision and indicated it could challenge the ruling in court.
Google President of Global Affairs Kent Walker argued that the required changes would remove features valued by users and weaken security protections within Google Play.
Despite the fines, the Commission acknowledged that Google has made significant progress towards complying with the DMA by testing changes to its search results, shopping services and Google Play policies.
The regulator said it would continue discussions with the company, suggesting additional daily penalties are unlikely if compliance efforts continue.
The Commission also said the principles established in Thursday’s decision could be extended to Google’s AI-generated Search features, including AI Overviews and AI Mode.
