The European Commission fined Alphabet's Google a total of €890 million ($1 billion) on Thursday for violating the Digital Markets Act (DMA) — the first penalties ever imposed on the tech giant under the landmark EU legislation.
The fine is split into two separate charges. The first, €460 million, targets Google's practice of favouring its own services — including shopping, hotels, transport, and sports results — in search rankings. The second, €430 million, penalizes restrictions on Google Play that prevented app developers from steering users to cheaper offers on rival app stores or websites.
European Commission antitrust chief Teresa Ribera told reporters: "Our duty and obligation is to comply with the laws, that our laws are fully respected. The DMA is to make sure we have a fair and level playing field."
Google, which has 60 days to comply with the Commission's orders, criticized the decision and said it may take the EU to court. Kent Walker, Google's President of Global Affairs, said the company is being forced to "strip away real-time Search features Europeans love" and "dismantle safety protections on Google Play," calling the ruling "product degradation driven by a small group of self-serving complainants."
Constructive dialogue may avert more fines
Despite the record penalty, the Commission noted a "constructive dialogue" with Google and significant progress toward compliance, suggesting daily penalty payments for non-compliance are likely off the table. The EU watchdog specifically acknowledged Google's proposed changes to how it presents its own services in search results and how it handles shopping ads.
The Commission also indicated that Google may apply the principles of Thursday's decision to its AI-generated summaries — known as AI Overviews and AI Mode — with talks continuing on that front.
The fines are the third under the DMA after penalties against Apple and Meta Platforms in April 2025. They bring Google's total EU antitrust penalties to €10.38 billion over nearly two decades.
The decision has drawn sharp reactions from Washington. U.S. Trade Representative Jamieson Greer said the fine and other EU actions "are driving massive uncertainty for U.S. exports of goods and services to Europe," though he did not announce any retaliatory measures.
