The European Commission has fined Alphabet Inc. (GOOG) a total of EUR 890 million, equivalent to roughly $1 billion, for breaching the EU’s Digital Markets Act.
The penalties mark the first time Google has faced fines under the DMA, a regulatory framework specifically designed to curb the dominance of the largest technology platforms.
Regulators issued a EUR 460 million fine over allegations that Google gave its own services preferential placement in search results over competing providers.
The services cited by the Commission include Google’s shopping, hotels, transport, and sports results features, all of which were found to have benefited from favored positioning.
A separate EUR 430 million penalty was imposed over restrictions within Google Play that blocked app developers from directing users toward cheaper offers on rival app stores or external websites.
Beyond the financial penalties, the EU ordered Google to treat competing services fairly within its search results and to allow developers to promote alternative purchasing options outside the Google Play ecosystem.
Google has been given 60 days to comply with those requirements, and failure to do so could result in additional penalties of up to 5% of its global annual turnover.
Google criticized the decision publicly and confirmed it is reviewing whether to appeal, arguing the mandated changes could degrade certain search features and weaken security protections within Google Play.
The Commission acknowledged that Google has been making ongoing adjustments to its search and app store practices, characterizing those changes as meaningful progress toward compliance.
Regulators signaled that further fines are less likely if Google continues moving in the direction of full compliance with the DMA’s requirements.
The case underscores the EU’s aggressive posture toward major American tech firms, with the DMA giving Brussels broad authority to impose structural remedies and escalating financial penalties on designated gatekeepers like Alphabet.
