Credited from: LEMONDE
The European Union has fined Google €2.95 billion ($3.5 billion) for breaching competition rules by favoring its own digital advertising services over competitors, marking the fourth antitrust penalty against the company in the EU since 2017. The European Commission's decision was informed by a complaint from the European Publishers Council and follows an investigation initiated in 2021. It found that Google had abused its dominant position in the ad-tech market, which significantly harmed advertising clients and online publishers, resulting in higher costs passed on to consumers, according to Reuters, South China Morning Post, and Al Jazeera.
In response to the fine, US President Donald Trump condemned the EU's actions as "very unfair" and threatened to initiate Section 301 proceedings, which could lead to further tariffs against European imports. He characterized the fine as a measure that would detract from American investments and jobs, indicating that his administration would not tolerate what he termed discriminatory actions against US companies, as reported by India Times, The Hill, and Newsweek.
The fine comes amid heightened scrutiny of Google's market practices and was described by EU officials as essential to restoring fair competition. The European Commission has mandated that Google cease its "self-preferencing practices," which favor its advertising technology services. Google has been given 60 days to propose solutions to address the issue, failing which further regulatory actions may be considered, as highlighted by BBC, India Times, and Jakarta Post.
The fine adds to a series of legal challenges Google faces in both the EU and the United States, as regulators increasingly scrutinize the practices of major tech companies. The situation illustrates the ongoing tensions between the EU and the US over digital market regulations and enforcement, with significant implications for international trade relations as underscored by Africa News, Le Monde, and Dawn.