Google hit with $3.46bln EU antitrust fine over adtech

Google abused its market power since 2014 until today, the EU watchdog said

Alphabet’s Google was hit with a €2.95 billion ($3.46 billion) EU antitrust fine on September 5 for anti-competitive practices in its lucrative adtech business, a sharp sanction against the firm that riled up US President Donald Trump.

The fine, the fourth penalty Google has faced in its decade-long fight with EU competition regulators, comes amid trade tensions between major global powers and US threats of retaliation over EU scrutiny of American tech firms.

Trump said in a post on Truth Social that the action was “unfair” and “discriminatory”.

We cannot let this happen to brilliant and unprecedented American Ingenuity and, if it does, I will be forced to start a Section 301 proceeding to nullify the unfair penalties being charged to these Taxpaying American Companies, Trump said.

Section 301 of the Trade Act of 1974 allows the US to penalise foreign countries that engage in acts that are “unjustifiable” or “unreasonable”, or burden US commerce.

The EU competition enforcer had originally planned to hand out the fine on September 1, but opposition from EU trade chief Maros Sefcovic on concerns about the impact of US tariffs on European cars derailed EU antitrust chief Teresa Ribera’s plan.

The commission said Google favoured its own online display technology services that reinforced its own ad exchange AdX’s central role in the adtech supply chain and allowed Google to charge high fees for its service, to the detriment of rivals and online publishers.

Google abused its market power since 2014 until today, the EU watchdog said.

It ordered Google to stop the self-preferencing practices and take measures to cease its inherent conflicts of interest. The company has 60 days to inform the commission how it plans to comply with this order, and another 30 days to do so. The commission reiterated its preliminary view that Google should divest part of its services but said it wants to first hear and assess Google’s compliance efforts.

Google must now come forward with a serious remedy to address its conflicts of interest, and if it fails to do so, we will not hesitate to impose strong remedies, Ribera said in a statement.

Digital markets exist to serve people and must be grounded in trust and fairness. And when markets fail, public institutions must act to prevent dominant players from abusing their power, she said.