Tag Archive for: 2.4 billion euro

Google Hit With Record Breaking $2.7 Billion Fine From the E.U.

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It was recently discovered that the search engine giant, Google, was giving preferential treatment to their own products and services in their search results. Once this information was revealed, the E.U. immediately took action.

Margrethe Vestager, the E.U. antitrust chief, explained the matter simply to reporters in Brussels when she said, “What Google has done is illegal under E.U. antitrust rules. It has denied other companies the chance to compete on the merits and to innovate. And most importantly, it has denied European consumers the benefits of competition.”

Vestager and the rest of the European Union have taken it upon themselves to set the standard for digital regulations across the globe. In addition to this latest Google scandal, other American companies like Apple, Facebook, and Amazon are also garnering attention for their questionable digital practices. Obviously the larger issue of concern here is what governments are doing to prevent these kinds of wrongdoings in the first place.

The Message:

Those in Europe are holding a firm stance on these issues with this recent fine. Even if companies are technically upholding the laws of their own country, they must also comply with the laws of others, or risk being reprimanded.

The $2.7 billion fine against Google is much higher than predicted. The amount also more than doubled the previous record-holder, Intel. The E.U.’s intent with their charge against Google is clear: follow the rules or pay the price.

Google’s Response:

There is little chance that Google will accept the initial fine. The company has already announced their consideration of an appeal. Kent Walker, the senior vice president and general counsel of Google, put a more positive spin on the situation by saying, “When you shop online, you want to find the products you’re looking for quickly and easily. And advertisers want to promote those same products.”