EC fines Google €890 Million for DMA Breaches

The European Commission fined Google a total of €890 million in two cases for non-compliance with the Digital Markets Act (DMA). The EC demands that the tech giant make changes to its search service and app store policies. Decisions on the two probes follow investigations started in March 2024. Of the total, €460 million is for breaches on its search service and €430 million for app distribution restrictions on Google Play.

On the search charge, the EC determined Google gave its own services preferential treatment in rankings, either by having them at the top of a results page, or using enhanced visuals or filters. This goes against DMA rules requiring transparent, fair, and non-discriminatory conditions in rankings, the EC argued. It's fine related to the Google Play app store was for not allowing developers distributing apps through the platform to inform customers of alternative offers and direct them to make purchases elsewhere.

The EC acknowledged that after a constructive dialogue, Google began testing changes to its services that could constitute substantial progress towards compliance. However, the EC stated that the fines imposed on Google take into account the gravity and duration of the non-compliance. As part of the judgement, the EC demands that Google ends the policies deemed in breach of the DMA. Google has 60 days to comply, with the authority threatening periodic penalty payments of up to 5% of worldwide turnover if it does not. The company has the right to appeal.

The President of global affairs at Google and its parent company Alphabet, Kent Walker, claims that the way the DMA is implemented continues to break everyday products and degrades the experience of businesses and consumers in the EU. “To comply, we are having to strip away real-time Search features Europeans love like instant pricing and direct availability for hotels, flights and restaurants, and dismantle safety protections on Google Play. This isn’t fair competition; it’s product degradation driven by a small group of self-serving complainants, with European businesses and consumers taking the hit. Regulation should improve products, not make them worse.”