Exclusive-European publishers, tech firms urge EU to speed up fine on Google over search

European Publishers and Tech Firms Urge Swift EU Fine on Google Search Practices

EU Antitrust Probe and Industry Response

By Foo Yun Chee

Publishers and Tech Firms Call for Action

BRUSSELS, March 16 (Reuters) - European publishers, tech firms and startups have urged EU antitrust regulators to wrap up a near two-year probe into Alphabet unit Google's alleged favouring of its own services in online searches and impose a fine on the tech giant.

Letter to EU Leaders

In a letter to EU leaders, seen by Reuters and previously unreported, the European Publishers Council whose members include Axel Springer, News Corp and Conde Nast, the European Magazine Media Association, the European Tech Alliance, EU Travel Tech and others called for the investigation to be finished next week.

Regulatory Tensions and Background

The push underscores tensions within the bloc over the complex balance of regulating Big Tech, with regular clashes between Washington and Brussels over rules curbing the dominance of U.S. companies in social media, online search and AI.

Details of the EU Investigation

Timeline and Legal Framework

The investigation, launched by the European Commission on March 25, 2024 under the European Union Digital Markets Act (DMA), has been going on for nearly two years.

EU regulators have said they aim to wrap up DMA cases within 12 months. The Commission announced charges last year.

Industry Concerns and Statements

"The European Commission's credibility is on the line and it is important that sustained pressure to dilute the DMA is not shown to have succeeded," the groups representing publishers, tech companies and startups said in a joint letter sent on Sunday to Commission President Ursula von der Leyen, EU antitrust chief Teresa Ribera and EU tech chief Henna Virkkunen.

Impact on European Companies

"Every passing day further erodes the profitability of European companies, hampering their ability to invest and grow, with many already facing financial distress or even bankruptcy under the weight of Alphabet's conduct."

Reactions from the European Commission and Google

Official Responses

The European Commission did not immediately respond to email requests for comment. Google, which has made various proposals to mollify rivals and EU regulators since it was charged, did not immediately respond to requests for comment.

Rival and Company Positions

Its rivals say that the measures are insufficient. The company denies favouring its own services in online search.

Demands for Enforcement and Penalties

The groups - which include the Initiative for Neutral Search, Innovative Europe Foundation and the German Startup Association - urged the Commission, which acts as the EU competition watchdog, to adopt a formal non-compliance decision against Alphabet - including a cease-and-desist order - and impose a deterrent fine.

(Reporting by Foo Yun Chee; Editing by Adam Jourdan and Emelia Sithole-Matarise)