Google appeals against record 2.4bn EU fine

News


11 Sep, 2017

Google appeals against record 2.4bn EU fine

The tech giant has appealed against the European Commission’s decision to fine it a record €2.4bn (£2bn / $2.8bn) after the regulator ruled that Google had breached the EU’s antitrust rules.

In June 2017, Google was found guilty of purposely placing its own comparison shopping services at the top of Google search results. The European Commission deemed this as an abuse of power as Google effectively eliminated all competition by demoting its rivals.

The fine is the largest ever issued by the European Commission, which warned Google of further penalties if it failed to discontinue such practices. The Alphabet unit has been given 90 days to end the "anti-competitive" practices or face a further fine amounting to 5% of the average daily global earning of its parent company Alphabet. The deadline for making the changes is 28 September.

A Google spokesman said at the time that the company “respectfully disagreed” with the ruling and now news has spread that Google has officially launched an appeal to the EU Court of Justice (ECJ).
The EU competition enforcer will defend its decision in court, a spokesman said.

Google’s chances of winning an appeal were boosted after Intel's partial victory last week against an EU sanction. In a rare setback to the Commission, the EU Court of Justice (ECJ) told a lower tribunal last Wednesday to re-examine U.S. chipmaker Intel's appeal against a €1.06bn fine.

Today's News - FTSE 100 rebounds to higher ground