Europe’s top court has upheld a €2.4bn (£2bn) fine against Google for abusing the market dominance of its shopping comparison service, in a landmark ruling that could have far-reaching implications for the tech giant.
The fine, originally imposed by the European Commission in 2017, was the largest penalty ever imposed at the time. Google had appealed against the fine, but the European Court of Justice (ECJ) dismissed the appeal, stating that the Commission was right to find Google’s conduct “discriminatory”.
The case, which was first brought by British firm Foundem in 2009, has been a long-running saga that has now come to a close with this ruling. Shopping comparison site Kelkoo, another complainant in the case, hailed the ruling as “a win for fair competition and consumer choice”.
Google expressed disappointment with the ruling but pointed out that it had made changes in 2017 to comply with the Commission’s decision. However, the tech giant may still face further legal challenges, as several follow-on actions by injured parties seeking compensation for losses are already pending in national courts.
This ruling comes at a time when Google is facing increased scrutiny from regulators around the world. In the US, the tech giant is currently embroiled in a trial over its ad tech business, while UK regulators recently concluded that Google used anti-competitive practices to dominate the market for online advertising technology.
The EU’s case against Google began with allegations that the tech giant favored its own shopping recommendations in search results, effectively monopolizing the online price comparison market. The ECJ’s decision to uphold the fine could have implications for the many other antitrust cases Google is currently facing from the European Commission.
With fines totaling €8.2bn from the Commission, Google is under increasing pressure to comply with EU competition rules. The EU is also investigating whether Google preferences its own goods and services in search results, which could result in further fines for the tech giant.
Overall, the ruling against Google serves as a warning to other tech giants that abuse their market dominance, signaling a shift towards stricter enforcement of competition laws in the digital age.
