EU Plans Modest Antitrust Fine for Google Adtech Abuse
EU Plans Modest Antitrust Fine for Google Adtech Abuse

EU Plans Modest Antitrust Fine for Google Adtech Abuse

News summary

The European Union is poised to impose a modest antitrust fine on Google for alleged anti-competitive practices in its advertising technology business, marking a strategic shift under EU antitrust chief Teresa Ribera. This fine, resulting from a four-year investigation initiated by the European Publishers Council, is notably smaller than previous hefty penalties imposed on Google for other antitrust violations, reflecting Ribera's focus on ensuring compliance and ending anti-competitive behavior rather than imposing large punitive fines. The investigation centered around claims that Google favored its own ad services over competitors in the digital ad space, where Google generated $264.6 billion in advertising revenue in 2024, constituting 75.6% of its total revenue. Unlike past actions, the EU will not require Google to divest any part of its adtech operations, such as its DoubleClick or AdX platforms, and may defer to upcoming US legal proceedings addressing similar dominance issues. Google's shares have reacted positively to news of the modest fine, indicating market approval of the lighter regulatory approach. The EU's evolving strategy under Ribera contrasts with the prior enforcement style of Margrethe Vestager, signaling a preference for regulatory compliance over deterrent financial penalties.

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