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🇳🇮 Nicaragua /Economy & Trade

EU fines Google 890 million euros for prioritizing services and restricting app developers

From Confidencial · () Spanish

Translated from Spanish, summarized and contextualized by DistantNews.

At a glance

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  • The European Commission fined Google 890 million euros for prioritizing its own services in search results and restricting app developers.
  • Google must end these practices within 60 days or face additional penalties, including up to 5% of its global annual turnover.
  • The fines are lower than previous ones due to the new Digital Markets Act (DMA) and Google's partial implementation of changes.

The European Commission has levied two significant fines against Google, totaling 890 million euros, for violating the bloc's Digital Markets Act (DMA). The penalties target the tech giant's alleged practice of favoring its own services, such as shopping and travel results, in its search engine rankings. Additionally, Google is penalized for hindering mobile app developers from informing users about cheaper deals available outside the Google Play store.

the company has infringed the digital markets act (DMA), which regulates competition among large tech companies in the European Union

— European CommissionExplaining the basis for the fines.

Brussels has ordered Google to cease these practices within 60 days. Failure to comply could result in periodic fines equivalent to up to 5% of the company's global annual turnover. The commission argues that Google's actions created an unfair competitive landscape, particularly by highlighting its own services at the top of search results or using enhanced visual elements and filters.

prioritize its own services - such as shopping (Google Shopping), hotel search, transport and sports results - over those of competitors

— European CommissionDescribing the first fine's reason.

The second fine, amounting to 430 million euros, addresses restrictions imposed on app developers. While the DMA allows Google to charge developers a fee for new customers acquired through Google Play, the commission deems these fees excessively high. The order requires Google to treat rival services fairly and without discrimination in its search results and to permit developers to inform users about external, potentially cheaper, offers.

put restrictions on mobile application developers to direct their customers to their websites or app stores other than Google Play to offer them cheaper services than those they can provide through Google products

— European CommissionDescribing the second fine's reason.

These new sanctions, while substantial, are considerably lower than previous antitrust penalties imposed on Google. The company faced a 4.343 billion euro fine in 2018 for abusing its dominance with the Android operating system and another 2.424 billion euro fine in 2017 for favoring its Google Shopping service. The reduced amounts reflect the application of the newer DMA, which has a shorter infringement period (March 2024 to December 2025), and Google's proactive implementation of some required changes.

treat its rivals in a 'fair and non-discriminatory' manner in search results and allow app developers to inform users of cheaper offers

— European CommissionStating the required changes.
DistantNews Editorial

Originally published by Confidencial in Spanish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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