EU Said to Fine Google With Record Fine This Week

Advertisement
By Agence France-Presse | Updated: 26 June 2017 18:05 IST
Highlights
  • EU to order Google a fine of around EUR 2 billion this Tuesday
  • Google had been accused of dominating in its search results
  • EU had earlier fined Apple a huge sum of EUR 13 billion

The EU's powerful antitrust regulator will slap Google with a record fine as early as Tuesday in another European blow against a US tech giant, sources said.

Led by hard-charging European Commission competition chief Margrethe Vestager, the EU will impose a massive penalty against Google that would break the previous record of EUR 1.06 billion set in 2009 against Intel, the US chipmaker.

More importantly for Google, Brussels will demand that the US tech giant change its business practices to meet the EU's concerns.

Advertisement

The decision, expected Tuesday or Wednesday, comes a year after Vestager shocked the world and angered the Obama administration with an order that Apple repay EUR 13 billion in back taxes in Ireland.

Advertisement

Sources close to the matter said Google's fine would range EUR 1.1-2.0 billion. While an EU record, this is well below the maximum possible of about EUR 8.0 billion  or 10 percent of Google's total revenue last year.

Brussels accuses Google of giving its own online shopping services top priority in search results to the detriment of other price comparison services.

Advertisement

The case is one of three against Google and of several against blockbuster US companies including Starbucks, Apple, Amazon and McDonalds.

In the other Google cases, the EU is examining Google's AdSense advertising service and its Android mobile phone software.

Advertisement

If confirmed, the fine would come after a long period in which the two sides tried to settle the case amicably.

The cases have stoked tensions with Washington and could now face the wrath of US President Donald Trump, who won office on his "America First" slogan.

"We continue to engage constructively with the European Commission and we believe strongly that our innovations in online shopping have been good for shoppers, retailers and competition," said Mark Jansen, a spokesman for Google.

The European Commission refused to comment.

The Commission, which polices EU competition policy, launched an initial investigation into Google in 2010 following complaints from rivals such as Microsoft and Trip Advisor that it favoured its own shopping services when customers ran searches.

Claims that practices by Google Shopping harm competition "are wrong as a matter of fact, law, and economics," Google's general counsel Kent Walker wrote in response to the EU last year.

Vestager's predecessor, Joaquin Almunia, made three attempts to resolve the dispute but in each case intense pressure by national governments, rivals and privacy advocates scuppered the effort.

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Advertisement

Related Stories

Popular Mobile Brands
  1. Airtel-Perplexity Free Offer Now Requires a Card to Continue
  2. Shine On Me Now Streaming Online: Know Everything About Plot, Cast, and More
  3. Xiaomi 17 Ultra's Leica Camera Confirmed to Support Continuous Optical Zoom
  4. OnePlus Pad Go 2 Review
  5. This Samsung Galaxy S26 Series Component Could Offer Reduced Efficiency
  6. Huawei MatePad 11.5 (2026) With 2.5K Display, 10,100mAh Battery Launched
  7. Oppo Reno 15 Pro Mini Confirmed to Launch in India Alongside These Models
  8. Hogwarts Legacy Sequel Could Feature Online Multiplayer Component
  9. OnePlus Turbo Key Specifications Surface Ahead of Launch
  10. Oppo Reno 15 FS 5G Price, Specifications Revealed via Retail Listing
  1. Realme 16 Pro Series Camera Features Revealed; Realme Buds Air 8 Launch Date Announced
  2. Samsung Showcases First Look 2026 Teaser Ahead of CES in January
  3. Shine On Me Now Streaming on Netflix: Know Everything About This Korean Romance Drama Series
  4. Hogwarts Legacy 2 Could Feature Online Multiplayer, Warner Bros. Games Job Listing Suggests
  5. Samsung Galaxy S26 Series Said to Feature External Modem on Models With Exynos 2600 SoC
  6. OpenAI Says Prompt Injections a Challenge for AI Browsers, Builds an Attacker to Train ChatGPT Atlas
  7. Microsoft 365 Accounts Reportedly Breached After Hackers Exploit Legitimate Microsoft OAuth Feature
  8. Oppo Reno 15 FS 5G Price and Specifications Surface on Retailer's Website, Could Launch Soon
  9. Idol I Streaming Now Online: Know Everything About Streaming, Plot, Cast, and More
  10. Mufti Police Out on OTT: Know Where to Watch This Telugu Thriller Film Online
Gadgets 360 is available in
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2025. All rights reserved.