The European Union has fined Google €2.95 billion for favouring its own advertising services, marking the fourth major penalty against the tech giant
The European Union has fined Google €2.95 billion for favouring its own advertising services, marking the fourth major penalty against the tech giant in less than a decade.
EU Strikes Google with Multi-Billion Fine
The European Union has handed Google a €2.95 billion ($3.5 billion) fine, accusing the US tech giant of breaching competition rules by prioritising its own digital advertising services over those of rivals. The decision, announced on Friday by the European Commission, is the latest in a series of high-profile clashes between Brussels and Silicon Valley’s most powerful firms.
While Google has been fined before for similar anti-competitive behaviour, regulators stopped short of forcing structural changes, such as breaking up parts of the company. Instead, the Commission has ordered Google to halt “self-preferencing” practices and to introduce safeguards that prevent conflicts of interest in the advertising technology supply chain.
Google Pushes Back Against EU Ruling
Google immediately criticised the ruling, describing the fine as “wrong” and pledging to appeal. Li-Ann Malahant, the company’s head of regulatory affairs, warned that the penalty could hurt businesses across the continent.
“This is an unfair fine that will harm thousands of European businesses, making it harder for them to generate revenue,” Malahant said.
Despite these objections, EU officials insist that the penalty is necessary to protect competition and ensure smaller firms can compete fairly in the digital advertising market.
A Pattern of Penalties Against Google
The latest fine adds to a growing list of costly run-ins between Google and EU regulators.
-
-
2017 – Google Shopping: Fined €2.42 billion for abusing its dominance in search by giving preferential treatment to its own price comparison service.
-
-
-
2018 – Android: Issued a record €4.34 billion penalty for imposing restrictive conditions on smartphone manufacturers, limiting rivals’ ability to compete.
-
-
-
2019 – AdSense: Ordered to pay €1.49 billion over advertising contracts that blocked competing ads from appearing on partner websites.
-
-
2025 – AdTech: The current €2.95 billion fine for conflicts of interest and favouring its own advertising services within the digital ad supply chain.
EU’s Broader Regulatory Push
The case highlights the European Union’s continued determination to hold Big Tech accountable under its competition laws. By targeting Google’s dominance in adtech, regulators aim to prevent the company from controlling every step of the digital advertising process, from placement to performance measurement.
Although the Commission has not yet resorted to breaking up Google, officials stressed that future “structural measures” cannot be ruled out if anti-competitive practices persist.
What the Fine Means for the Future
The €2.95 billion penalty signals that the EU is not easing its scrutiny of tech giants, even as companies increasingly argue that heavy fines harm innovation and economic growth. For Google, the ruling represents both a financial setback and another public relations battle in its ongoing clash with European regulators.
With four multi-billion euro fines in less than ten years, the case raises broader questions about whether financial penalties alone are enough to change behaviour—or whether the EU will eventually resort to more drastic interventions.
COMMENTS