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The European Commission on Friday fined Google €2.95 billion, saying the company distorted competition in the digital advertising market by favoring its own technology services over rivals.
The penalty, one of the largest ever levied against the American tech giant in Europe, centers on Google’s conduct in the online display advertising business — a sprawling system that places banner and video ads across websites and apps. Regulators said Google abused its dominant position for more than a decade by tilting auctions and advertising tools in favor of its own exchange, AdX, at the expense of publishers, advertisers and competing ad tech firms.
“Today’s decision shows that Google abused its dominant position in adtech harming publishers, advertisers, and consumers. This behaviour is illegal under EU antitrust rules,” Teresa Ribera, the European Commission’s executive vice president for Clean, Just and Competitive Transition, said in a statement. “Google must now come forward with a serious remedy to address its conflicts of interest, and if it fails to do so, we will not hesitate to impose strong remedies.”
The commission ordered Google to end the practices and to propose structural changes that would eliminate conflicts of interest in its ad tech business. Google has 60 days to submit a plan. Officials signaled that only divesting part of its advertising operations might be enough to address the concerns, though they will review Google’s proposal before deciding whether harsher measures are needed.
At the core of the case is how Google leveraged its popular publisher ad server, DoubleClick for Publishers, and its advertiser tools, Google Ads and DV360, to steer business toward AdX. Regulators found that Google gave AdX an informational edge in auctions, while its ad-buying tools often avoided rival exchanges altogether, reinforcing Google’s central role in the market and allowing it to charge higher fees.
The fine was calculated under the commission’s 2006 guidelines and took into account the gravity and duration of the violation, as well as Google’s past antitrust infractions in Europe.
The ruling echoes a case brought by the U.S. Department of Justice, which has accused Google of similar abuses in the ad tech sector. A trial on remedies in the American case is scheduled to begin Sept. 22, 2025.
The European investigation began in 2021, with regulators issuing a formal statement of objections to Google in June 2023. Google responded later that year, but officials said the company’s explanations did not alter their findings.
For European publishers and advertisers, the decision may pave the way for lawsuits seeking damages. Under EU law, the commission’s ruling serves as binding proof in national courts that Google’s conduct was illegal.
“Digital markets exist to serve people and must be grounded in trust and fairness,” Ribera said. “True freedom means a level playing field, where everyone competes on equal terms and citizens have a genuine right to choose.”