Google has been hit with a €2.95bn (£2.5bn) fine by the European Union for allegedly abusing its dominance in the online advertising technology market – the system that decides which ads appear on websites and where they are displayed. Reports Technology News
The European Commission announced on Friday that the tech giant had breached competition rules by prioritising its own tools for placing ads online, leaving rival services at a disadvantage.
The penalty comes as regulators around the world step up scrutiny of Google’s vast influence in digital advertising and search.
Responding to the decision, Google told the BBC it strongly disagreed and would challenge the ruling.
“This decision is wrong. It imposes an unjustified fine and demands changes that will harm thousands of European businesses by making it harder for them to earn revenue,” said Lee-Anne Mulholland, Google’s global head of regulatory affairs.
“There is nothing anti-competitive about offering ad-buying and selling services, and today there are more choices available to advertisers than ever before.”
The move also drew sharp criticism from US President Donald Trump, who labelled the fine “very unfair” in a social media post and threatened to launch an investigation into EU tech practices that could trigger tariffs.
“My Administration will NOT allow these discriminatory actions to stand. The European Union must stop targeting American companies immediately!” he wrote.
Trump has repeatedly condemned the EU’s enforcement measures against major US tech firms, even as American regulators pursue their own cases over Google’s dominance in digital ads.
Earlier this week, Brussels dismissed reports that it had delayed the announcement of the fine due to heightened trade tensions with Washington.
In its findings, the Commission accused Google of “self-preferencing” by deliberately giving its own advertising exchange, AdX, an edge over rival platforms in the real-time buying and selling of ads.
The regulator said the practice left competitors and publishers facing higher costs and reduced earnings, with the impact potentially passed down to consumers through pricier online services.
Alongside the near-€3bn penalty, Google has been ordered to end the practices that led to the breach.
