Google Loses Appeal Against $2.7 Billion EU Antitrust Fine

In 2017, the European Commission fined Google for using its price comparison shopping service to unfairly disadvantage smaller European competitors.

Brussels: Alphabet’s Google faced a setback on Tuesday as it lost its appeal against a €2.42 billion ($2.7 billion) antitrust fine imposed by EU regulators seven years ago. This fine is part of a series of substantial penalties the company has received for various anti-competitive practices.

In 2017, the European Commission fined Google for using its price comparison shopping service to unfairly disadvantage smaller European competitors. The fine was upheld by a lower tribunal in 2021, prompting Google to challenge the decision at the Luxembourg-based Court of Justice of the European Union (CJEU).

The CJEU judges emphasized that while holding a dominant market position is not illegal, its abusive exploitation is. They stated, “In particular, the conduct of undertakings in a dominant position that has the effect of hindering competition on the merits and is thus likely to cause harm to individual undertakings and consumers is prohibited.”

Also Read | EU’s Vestager Secures Landmark Wins Against Apple’s Tax Deal and Google’s Practices

Over the past decade, Google has accumulated €8.25 billion in EU antitrust fines. The company is currently contesting two other rulings related to its Android operating system and AdSense advertising service and awaits further judgments. Additionally, Google is battling EU antitrust charges issued last year, which could compel it to divest part of its lucrative adtech business due to allegations of favoring its own advertising services.

Also Read | SpiceJet Announces $40 Million Lease Arrears Write-Off by Carlyle Aviation

The case is C-48/22 P Google and Alphabet v Commission (Google Shopping).

Recent News