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    Home > Finance > Record $4.5 billion EU fine punished its innovation, Google tells EU court
    Finance

    Record $4.5 billion EU fine punished its innovation, Google tells EU court

    Published by Global Banking & Finance Review®

    Posted on January 28, 2025

    2 min read

    Last updated: January 27, 2026

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    Tags:innovationEuropean CommissionGoogleCompetition

    Quick Summary

    Google appeals a $4.5 billion EU fine, claiming it punishes innovation. The court's decision will be final. Google's ad tech business is also under scrutiny.

    Record $4.5 billion EU fine punished its innovation, Google tells EU court

    By Foo Yun Chee

    BRUSSELS (Reuters) - A record EU antitrust fine of 4.3-billion-euro ($4.5 billion) imposed on Google seven years ago punished the tech giant over its innovation, the Alphabet unit told Europe's top court on Tuesday, as it asked judges to scrap the EU decision.

    Google's appeal to the Luxembourg-based Court of Justice of the European Union comes two years after a lower tribunal sided with the European Commission which said the company used its Android mobile operating system to quash rivals. 

    The lower court trimmed the fine to 4.1 billion euros.

    "Google does not contest or shy away from its responsibility under the law, but the Commission also has a responsibility when it runs investigations, when it seeks to reshape markets and second-guess pro-competitive business models, and when it imposes multi-billion-euro fines," Google lawyer Alfonso Lamadrid told the court.

    "In this case, the Commission failed to discharge its burden and its responsibility and, relying on multiple errors of law, punished Google for its superior merits, attractiveness and innovation," he said.

    Lamadrid defended Google's agreements which forced phone manufacturers to pre-install Google Search, the Chrome browser and the Google Play app store on their Android devices, and prevented them from using rival Android systems.

    EU antitrust enforcers had said such requirements thwarted competition.

    Lamadrid argued that "these agreements and conditions did not restrict competition, they fostered it." 

    Judges will rule in the coming months. Their decision would be final and cannot be appealed. Google is currently in the EU crosshairs over its lucrative ad tech business, over which a decision is likely this year.

    The case is C-738/22 P - Google and Alphabet v Commission.

    ($1 = 0.9533 euros)

    (Reporting by Foo Yun Chee; Editing by Bernadette Baum; Editing by Bernadette Baum)

    Key Takeaways

    • •Google appeals a $4.5 billion EU antitrust fine.
    • •The fine was imposed for Google's use of Android to limit competition.
    • •Google argues the fine punishes its innovation.
    • •The EU court's decision will be final and unappealable.
    • •Google's ad tech business is also under EU scrutiny.

    Frequently Asked Questions about Record $4.5 billion EU fine punished its innovation, Google tells EU court

    1What was the amount of the EU antitrust fine imposed on Google?

    The EU imposed a record antitrust fine of 4.3 billion euros, which is approximately $4.5 billion.

    2What is Google's main argument in its appeal?

    Google argues that the EU Commission's actions punished the company for its innovation and that the agreements with manufacturers fostered competition rather than restricted it.

    3What did the lower court decide regarding the fine?

    The lower court reduced the fine to 4.1 billion euros but upheld the European Commission's ruling.

    4What is the significance of the judges' upcoming decision?

    The judges' ruling will be final and cannot be appealed, making it a critical moment for Google and its operations in Europe.

    5What other issues is Google facing in the EU?

    In addition to the antitrust fine, Google is currently under scrutiny in the EU regarding its lucrative ad tech business.

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