EU Hits Google with $1 Billion Fine Over Big Tech Rules

The European Union has slapped Google with a fine of €890 million (about $1 billion) for breaking its Digital Markets Act — a law built specifically to keep major tech companies in check and make sure competition stays fair.

The fine actually comes in two parts. The first, worth €460 million, is over Google giving its own services — things like Shopping, Hotels, Transport and Sports results — a leg up in its search engine results. The second, worth €430 million, is about Google restricting app developers on the Play Store from pointing users toward cheaper deals available elsewhere, whether on other app stores or outside websites.

Even with the fines, EU officials admit Google has made real progress in changing how it does business. Because of that, the company likely won’t be hit with extra daily fines for now, at least not immediately.

EU Competition Commissioner Teresa Ribera said the whole point here is making sure companies actually follow the law and compete on a level playing field. EU tech chief Henna Virkkunen echoed that, saying the Digital Markets Act exists to give every business a fair shot.

Google now has 60 days to comply with what the Commission is asking. Unsurprisingly, the company isn’t happy about the ruling and has hinted it may take the fight to court.

Kent Walker, Google’s President of Global Affairs, pushed back hard, saying the company is essentially being forced to strip out popular search features — like real-time hotel, flight and restaurant info — and loosen security protections on Google Play. His argument? These rules could actually make Google’s products worse for both everyday users and businesses.

On the EU’s side, officials say Google has already started testing changes to how it shows shopping, hotel, flight and sports results in Search. They also said they’re glad to see Google adjusting its Play Store policies, and that conversations with the company are ongoing.

Interestingly, the Commission hinted that similar rules could eventually apply to Google’s AI-powered search tools too, including AI Overviews and AI Mode. More discussions are expected there.

This marks the first time Google has been fined under the Digital Markets Act specifically. But add it all up, and Google’s total antitrust fines from the EU over the last two decades now stand at €10.38 billion.

Meanwhile, the EU’s increasingly tough stance on major American tech companies hasn’t gone unnoticed in Washington. The Trump administration has criticized the approach, arguing it unfairly singles out US businesses, and has even threatened retaliatory tariffs in response.