Google hit with record 2.4 billion euro EU fine

Brussels : The EU hit Google with a record 2.4-billion-euro fine yesterday for illegally favouring its shopping service in search results, in a fresh assault on US firms that risks the wrath of President Donald Trump.

Hard-charging European Commission competition chief Margrethe Vestager said the tech giant “abused its market dominance” as the world’s most popular search engine to give an advantage to its Google Shopping service.

“What Google has done is illegal under EU antitrust rules,” Denmark’s Vestager told a news conference in Brussels.

“It denied other companies the chance to compete on the merits and to innovate. And most importantly, it denied European consumers a genuine choice of services and the full benefits of innovation.”

Google now has 90 days to “end this conduct” or face further fines, Vestager said. These could amount to five percent of Google’s daily revenue, she added, a penalty of roughly $14 million a day.

The fine broke the previous European Union record for a monopoly case against US chipmaker Intel of 1.06 billion euros in 2009.

Google said it “respectfully” disagreed with the EU decision, which followed a seven-year investigation, and may appeal.

Google Shopping shows the images and prices of products in response to searches about shopping when someone uses the search engine.

Brussels accuses Google of giving its own service too much priority in search results to the detriment of other price comparison services, such as TripAdvisor and Expedia.