European Commission Fines Google €1.49 billion

Red google logo by the entrance

writer icon Peter Karlsson     Google   |   Tech     🕐 21. Mar. 2019

On Wednesday, the EU Commission fined Google to the value of €1.49 billion "for abusive practices in online advertising".

The tech giant was fined "for illegal misuse of its dominant position in the market for the brokering of online search adverts. Google has cemented its dominance in online search adverts and shielded itself from competitive pressure by imposing anti-competitive contractual restrictions on third-party websites" according to European Commissioner for Competition, Margrethe Vestager.

As a result Google has been found to have breached EU's antitrust rules, where Google's exclusivity agreements regarding online ad text -placements were found to have "denied other companies the possibility to compete on the merits and to innovate - and consumers the benefits of competition.”

Vestager further emphasised that this is the third time in recent times that the commission fines Google. They were fined €2.42 billion and $4.34 billion in June 2017, and July 2018 respectively. This time the focus was on the role Google plays as an advertising broker for websites, with its 'AdSense for Search' being the prime target, as part of Google LCC.

It is also not the first time Vestager's name is attached to large and noteworthy fines such as these: the impactful Commissioner from Denmark has become well-known for being more than able to take on tech giants.

We believe that information should be free and will therefore never put up a paywall.

If you like reading our reports about the Scandinavian business scene and would like to donate towards the upkeep of the site, we would be very grateful. Click here to donate.

Most Popular Articles of November

Most Popular Articles of this Year