The European Commission slapped Google with a record €2.42 billion fine today for abusing a dominant position over internet search and gave the search engine 90 days to change the way it operates.
“Google’s strategy for its comparison shopping service wasn’t just about attracting customers by making its product better than those of its rivals,” said Margrethe Vestager, the European commissioner for competition. “Instead, Google abused its market dominance as a search engine by promoting its own comparison shopping service in its search results, and demoting those of competitors.”
The Commission said the fine reflected the seriousness and duration of the abuse.
Google must now give “equal treatment” to rival comparison shopping services and its own Google Shopping service. The search engine has 60 days to inform the Commission of its plans to do so.
Google must comply to the Commission’s satisfaction or risks daily fines capped at around €12.5 million a day.
The case establishes a new kind of legal abuse, with potentially big implications for Google’s wider business, and other powerful firms — from Amazon to vertically integrated manufacturers.
The verdict draws to a close a case triggered more than seven years ago following an antitrust complaint by comparison website Foundem. The inquiry has since attracted more than 30 additional complainants in sectors from online travel search to news, who will be scrutinizing the decision to see how it affects their situation. Some are likely to file civil damages claims.
In principle, Google has two months to appeal once it receives the decision — and in all likelihood will do so.
To view online: http://www.politico.eu/article/vestager-hits-google-with-e2-42-billion-fine/
