The European Union has levied a €2.95 billion fine against Google for anticompetitive practices in its advertising technology business, marking the fourth major antitrust penalty for the company in the region. The European Commission ordered Google to cease self-preferencing its own services and address conflicts of interest in the ad tech supply chain.
On Friday, September 5, 2025, the European Commission announced the decision after a lengthy investigation that began in 2021. The regulator found that Google had abused its dominant positions by favoring its own digital advertising services, thereby distorting competition and harming rivals in the market. This action underscores the EU’s ongoing efforts to rein in Big Tech’s market power and ensure a level playing field for all participants.
The investigation revealed that Google’s ownership of multiple parts of the ad ecosystem, including tools for advertisers and publishers, created inherent conflicts of interest. This structure allowed the company to unfairly advantage its own offerings, stifling innovation and limiting choices for businesses and consumers alike. The Commission emphasized that such practices violate EU antitrust rules designed to protect fair competition.
In response, Google’s Global Head of Regulatory Affairs, Lee-Anne Mulholland, stated that the company would appeal the decision. She called the fine “unjustified” and warned that the required changes could hurt thousands of European businesses by making it harder for them to monetize their services effectively. Google argues that there is nothing anticompetitive about its services and points to the increasing number of alternatives available in the market.
This fine is the fourth such penalty from the EU, following previous cases involving Android, shopping comparisons, and other practices. However, it is lower than the record €4.34 billion fine from 2018 but higher than the €2.42 billion fine in 2017, reflecting the severity of the current violations. The cumulative fines highlight a pattern of behavior that regulators have been struggling to curb through financial penalties alone.
The decision comes amid heightened tensions between the EU and the US, particularly with President Donald Trump threatening trade actions. The Commission had initially planned to issue the fine earlier but delayed it due to these geopolitical pressures, illustrating the complex interplay between regulation and international relations. This context adds a layer of diplomatic sensitivity to the enforcement action.
Google now has 60 days to propose remedies to the Commission to address the conflicts of interest. If the proposals are inadequate, the EU may impose stricter measures, including potential divestiture of parts of Google’s ad tech business, as previously considered. This timeline sets the stage for further negotiations and possible legal battles in the coming months.
Parallel to this, a similar case is underway in the US, where a federal judge has already found Google guilty of maintaining a monopoly in display search advertising. A trial is scheduled to begin on September 22, which could lead to further significant changes in Google’s operations and set precedents for global tech regulation. This ruling underscores the ongoing scrutiny of Big Tech’s market power worldwide.
Ultimately, this EU decision could influence future regulatory actions and shape the digital advertising landscape, promoting more competition and innovation. It signals a continued commitment by authorities to hold dominant firms accountable, potentially leading to broader reforms in how tech giants operate across borders.