Google was fined €890 million (roughly $1 billion) by the European Commission on Wednesday for violating the Digital Markets Act (DMA). The decision marks the company's first financial penalties under the landmark European law.
A €460 million fine covers Google's practice of favoring its own Shopping, Hotels, Flights, financial results, and sports results in Google Search. According to the Commission, those services receive more prominent placement, enhanced visuals, and filtering features that competing services do not.
A second €430 million fine is for anti-steering violations on Google Play. The Commission found that Google prevented developers from telling users about cheaper offers available outside the Play Store, and that the steering-related fees it charged developers exceeded what the Commission considers compliant with the DMA.
"Google has fallen short of effective compliance," said Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition. "The best products should succeed because they're better, not because they're owned by the company running the search engine."
Under the decisions, Google must treat third-party services fairly and without discrimination in Google Search and allow developers to freely communicate, promote offers, and conclude contracts with users outside Google Play. The Commission noted that Google has already started testing changes to how it presents its own services, shopping ads, and sports results, describing those efforts as substantial progress toward compliance. Google has 60 days to implement the required measures or face additional periodic penalty payments of up to 5 percent of its average daily worldwide turnover.
The ruling comes as the European Commission continues to step up DMA enforcement against major U.S. technology companies. Apple recently lost its legal challenge to its gatekeeper designation and has said the DMA will delay Siri AI features in the EU because of the law's interoperability requirements.
Google can appeal the decisions. The company had not issued a formal public statement at the time of publication.
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