EU Slaps a Fine of $2.7 billion on Google!!

EU Slaps a Fine of $2.7 billion on Google!!

The European Union(EU) slapped a record $2.7 billion anti-trust fine on Google, dealing a fresh blow to the U.S. tech giant and risking the anger of U.S. president Donald Trump. “The European Commission has fined google $2.7 billion for breaching EU anti-trust rules” a statement said.


In 2009, barely few years after they had started a price comparison site called Foundem, Shivaun and Adam Raff moved the European commission with a complaint against Google. Their plaint was that the internet search giant had favored its own shopping service in search results, buying that’s of the rivals.

ON Tuesday, almost eight years after the Raff’s complaint, the Commission decided to slap a record fine of about $2.7 billion, concluding as it put in a release, that “Google has abused its market dominance as a search engine by giving an illegal advantage to another product, its comparison shopping service”.

The case had seemed poised for an amicable settlement in early 2014, when Google agreed to display the links of rivals alongside its own. Joaquin Almunia, its then competition commissioner, noted in a release that “Google has finally accepted to guarantee that whenever it promotes its own specialised search service on the page, the services of rivals will be displayed in a comparable way”. This was not before indicating that he was for settling this issue through ensuring binding commitments rather than an adversarial path.

Mr. Almunia couldn’t get this deal ratified and before long, his terms came to an end. Public opinion in Europe around this time, media reports note, turned against Google. In the backdrop of, among other things, Edward Snowden’s revealations that the National Security Agency in the U.S. had tapped the German Chancellor’s phone. Also, by this time, the number of official complaints against Google had increased to 19, as a 2015 reports noted. The list of complaints included Microsoft, Consumer review site Yelp and travel site Expedia.

Within six month of taking over, Margrethe Vestager sent Google a statement of objections, a formal step in antitrust investigations. This was a reversal of the path taken by her predecessor Mr. Almunia, that decision marks a culmination of that process.


Two more cases against Google are still being investigated. One is related to Android. A release note

That “the commission is concerned that Google has stified choice and innovative in a range of mobile apps and services on mobile devices to protect and expand its dominant position in general internet search”

The Second one is Adsense, “where the commission is concerned that Google has reduced choice by preserving third party websites from sourcing search ads from Google’s competitors.

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