The European Commission has issued two non-compliance decisions against Google under the Digital Markets Act, imposing fines totaling €890 million. Regulators levied a €460 million fine over allegations that Google systematically favored its own services on Google Search, alongside a separate €430 million fine addressing restrictions placed on app developers using Google Play. Together, the sanctions highlight the European Union’s ongoing effort to dismantle anti-competitive behavior and maintain a level playing field across digital platforms.
The first decision addresses Google’s practice of self-preferencing within its dominant search engine. Under the obligations established by the Digital Markets Act, designated digital gatekeepers are prohibited from favoring their own products or services in search rankings over those offered by independent third parties. The Commission’s investigation revealed that Google routinely granted its own vertical services—spanning shopping, hotel bookings, transport options, and sports results—far greater visibility than competing alternatives. By featuring its own offerings prominently at the top of search result pages and augmenting them with enhanced filters and eye-catching visual elements, Google placed competing third-party services at a significant competitive disadvantage.
The second penalty targets restrictive practices within Google’s app ecosystem, specifically regarding steering rules on the Google Play platform. The Digital Markets Act dictates that app developers must be allowed to inform consumers, without incurring costs, about alternative purchasing channels that may offer lower prices or better terms. EU regulators found that Google actively hindered developers from freely communicating these deals, promoting outside offers, or concluding contracts beyond the confines of the Google Play store. While gatekeepers are permitted to charge reasonable fees to cover the initial acquisition of new users via their storefronts, the Commission determined that Google’s steering-related fees and the duration for which they were imposed far exceeded permissible regulatory limits.
In addition to the monetary penalties, the Commission issued cease-and-desist orders requiring Google to modify its operations and achieve full compliance. Google must now apply transparent, fair, and non-discriminatory conditions to all third-party search results and eliminate both technical and contractual barriers that restrict app developers from freely engaging with users outside Google Play. Authorities acknowledged that Google has already begun testing preliminary changes to how free search results, advertising formats, and AI-driven capabilities like AI Overviews display information. While the EU considers these testing efforts a step in the right direction, it will continuously evaluate the adjustments to ensure they satisfy regulatory standards.
Google now faces a tight 60-day window to fully implement the mandated changes across its platforms. Failure to adhere strictly to the decisions within this period could trigger recurring penalty payments amounting to as much as 5 percent of the company’s total worldwide turnover. The current enforcement action follows extensive non-compliance investigations launched in early 2024, during which Google reviewed evidence and submitted formal responses. As the Commission monitors implementation through an ongoing dialogue, Google retains the right to appeal the decisions through European courts.