Google loses fight against record €4.1 billion EU antitrust fine
By Foo Yun Chee and Sudip Kar-Gupta
Google's Legal Battle with the European Union
Background of the Antitrust Fine
BRUSSELS, July 2 (Reuters) - Alphabet's Google on Thursday lost its fight against a record fine imposed by EU antitrust regulators eight years ago for using its Android mobile operating system to block rivals, a court ruling likely to boost Europe's crackdown on Big Tech.
The European Commission had originally handed out a €4.34 billion fine to Google in 2018 for its 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.
Appeals and Court Decisions
A lower tribunal subsequently trimmed the fine to €4.1 billion in 2022 after the world's most popular search engine challenged the EU penalty. Google then appealed to the Luxembourg-based Court of Justice of the European Union, Europe's highest.
The court sided with the EU antitrust enforcer.
Judicial Statement
"The appeal brought by Google and its parent company Alphabet against the judgment of the General Court is dismissed, thereby confirming the penalty imposed for Google Search's abuse of a dominant position in the context of the Android operating system," judges said.
Google's Response and Future Implications
Google's Statement
A Google spokesperson said that the judgment failed to take into account its investment to ensure Android remains open, interoperable and free.
"In any event, we adapted our agreements to comply with the initial decision back in 2018 and we remain focused on continued innovation and openness for our users, partners and developers", Google said.
Ongoing Scrutiny and Potential Fines
Google has racked up close to €11 billion in EU fines in the last decades for various antitrust infringements.
It will likely see more fines in the near future for allegedly favouring its own services and products in search results and for practices related to its app store, both of which fall under the Digital Markets Act aimed at reining in the power of Big Tech.
Case Reference
The case is C-738/22 P Google and Alphabet v Commission.
(Reporting by Foo Yun Chee and Sudip Kar-Gupta; Editing by Louise Heavens)
