European Union regulators have imposed a €890 million approximately $1 billion fine on Google for violating the bloc’s landmark Digital Markets Act (DMA). The penalty addresses the tech giant’s alleged abuse of its dominant position in search and its Android app store, favoring its own services at the expense of competitors.
The European Commission announced two separate fines on Thursday: €460 million for self-preferencing Google’s own services (such as shopping, hotels, transport, and sports results) in Google Search results, and €430 million for restricting app developers from steering users to cheaper alternatives outside the Google Play Store.
This decision comes amid heightened trans-Atlantic trade tensions, as the EU continues its aggressive enforcement of digital competition rules against major U.S. tech companies. It marks one of the first major penalties under the DMA, which aims to curb gatekeeper practices and promote fairer competition in the digital economy.
EU Officials’ Reaction
European leaders emphasized the need to protect competition and consumers. Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, stated:
“Google has fallen short of effective compliance with the Digital Markets Act, and today we have taken decisive yet balanced enforcement action sanctioning these breaches.”
Henna Virkkunen, the European Commissioner in charge of tech sovereignty, added in related commentary:
“We found that Google harms businesses offering similar services, such as shopping or sports, by not granting them the same level of prominence on Google Search.”
The Commission has given Google 60 days to implement changes, such as treating third-party services fairly in search results and allowing developers more freedom to promote offers outside the Play Store. Failure to comply could result in additional fines of up to 5% of Google’s global annual turnover.
Google’s Response
Google has strongly disputed the findings and indicated it is reviewing the decision, with the possibility of an appeal. Kent Walker, President of Global Affairs at Google and Alphabet, issued the following statement:
“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. This isn’t fair competition; it’s product degradation driven by a small group of self-serving complainants, with European businesses and consumers taking the hit. Regulation should improve products, not make them worse.”
This latest fine adds to Google’s long history of EU antitrust battles, including previous multi-billion euro penalties related to Android and shopping search practices. Analysts expect the company to challenge the ruling in court, potentially prolonging the dispute.
The move is likely to fuel debates over digital regulation, innovation, and trans-Atlantic relations, especially as U.S. officials have criticized the EU’s approach as targeting American tech leadership.
