EU Fines Google Under Digital Markets Act

(RTTNews) - The European Commission has fined Alphabet Inc. (GOOG) Google a total of EUR 890 million (about $1 billion) for breaching the EU's Digital Markets Act (DMA). These are Google's first penalties under the new rules, which are designed to rein in the power of the biggest tech platforms.

The Commission issued a EUR 460 million fine for allegedly giving Google's own services such as shopping, hotels, transport, and sports results preferential placement in search over competing providers.

It also imposed a further EUR 430 million penalty over restrictions in Google Play that prevented app developers from directing users to cheaper offers available through rival app stores or external websites.

Alongside the fines, the EU ordered Google to treat competing services fairly in search results and to allow developers to promote alternative purchasing options outside Google Play. Google has 60 days to comply, or it could face additional penalties of up to 5% of its global turnover.

Google criticised the decision and said it is reviewing whether to appeal. The company argues that the required changes could worsen certain search features and weaken security protections on Google Play.

The Commission, however, said Google's ongoing adjustments to its search and app store practices amount to meaningful progress toward compliance, and that further fines are less likely if those changes continue.