The European Commission has fined Google €890 million (about $1 billion) for violating the European Union’s Digital Markets Act (DMA), marking the first enforcement action against the company under the bloc’s landmark digital competition law.
Announced on Thursday, the penalties were split across two separate cases involving Google’s search engine and Google Play app store. The fines represent Google’s fifth and sixth antitrust penalties in Europe, bringing its total EU competition-related fines to €10.38 billion over the past two decades.
EU regulators accused Google of giving preferential treatment to its own services including shopping, hotel, transport, and sports results—in its search engine, disadvantaging competing platforms.
The Commission also found that Google restricted app developers from directing users to cheaper offers outside the Google Play Store, limiting competition and consumer choice.
European Commission Executive Vice-President for Clean, Just and Competitive Transition Teresa Ribera defended the decision, saying the EU was simply enforcing its laws despite criticism from the United States.
“Our duty and obligation is to comply with the laws, that our laws are fully respected,” Ribera said.
Despite the penalties, EU regulators acknowledged what they described as a “constructive dialogue” with Google, noting that the company has proposed and begun testing changes to how it displays its own services in search results for products such as shopping, hotels, and flights.
Kent Walker, Google’s President of Global Affairs, argued that the required changes would diminish the quality of Google’s services for European users.
“To comply, we are having to strip away real-time Search features Europeans love, like instant pricing and direct availability for hotels, flights, and restaurants, and dismantle safety protections on Google Play,” Walker said.
He added that the measures amounted to “product degradation” rather than fair competition and warned they could ultimately hurt European businesses and consumers.
Google has been given 60 days to comply with the Commission’s orders by treating rival services fairly in search results and allowing app developers greater freedom to steer customers toward alternative purchasing options.
