The European Union on Friday slapped Google with a €2.95 billion ($3.47 billion) fine, accusing the tech giant of abusing its dominance in digital advertising, despite pressure from US President Donald Trump, who had warned the bloc against targeting American tech companies.
The European Commission said Google, a subsidiary of Alphabet Inc., “distorted competition in the adtech sector” by favoring its own services over rivals’, thereby harming publishers, advertisers, and ultimately consumers.
“Google abused its dominant position in adtech, harming publishers, advertisers, and consumers. This behavior is illegal under EU antitrust rules,” said EU competition chief Teresa Ribera.
Google swiftly announced plans to appeal, calling the decision “wrong on the facts and the law.”
“It imposes an unjustified fine and requires changes that will hurt thousands of European businesses by making it harder for them to earn revenue,” said Lee-Anne Mulholland, the company’s global head of regulatory affairs. “There’s nothing anticompetitive in providing services for ad buyers and sellers—and there are more alternatives than ever before.”
The fine comes amid escalating tensions between Brussels and Washington over regulation of Big Tech. Earlier this week, reports surfaced that the EU’s trade commissioner had paused the decision temporarily, citing concerns over possible US retaliation—exposing internal divisions within the bloc’s leadership.
The EU is still awaiting follow-through on a July trade deal in which the US agreed to reduce car tariffs, further complicating the geopolitical backdrop.
Despite these concerns, the European Commission moved ahead with the penalty, following a probe launched in 2021. In 2023, EU regulators had recommended that Google divest parts of its ad services to restore competition.
The €2.95 billion sanction marks the third major financial penalty against Google this week. On Wednesday, a US federal jury ordered Google to pay $425 million for collecting data from mobile apps even when users opted out via privacy settings. On the same day, France’s data protection authority fined the company €325 million for violations related to internet cookies.
Meanwhile, on Tuesday, Google scored a partial win in the US, where a judge declined to order the company to divest its Chrome browser in a separate antitrust case—but did impose sweeping remedies to restore competition in online search.
While Google continues to push back against regulatory pressure, the latest EU decision adds to growing global scrutiny of its ad business, long a pillar of the company’s revenue and market power.
AFP