Commission fines Google €890 million for breaches of the Digital Markets Act

The European Commission took two decisions finding non-compliance by Google with the Digital Markets Act (DMA) for self-preferencing its own services on Google Search, and for putting in place restrictions on businesses to direct consumers to alternative, often cheaper, purchase channels on Google Play (steering).

In this regard, the Commission issued Google a fine of €460 million and a fine of €430 million respectively.

Self-preferencing on Google Search

Under the DMA, gatekeepers must not treat their own services more favourably in ranking than third-party services. They have to apply transparent, fair and non-discriminatory conditions to such ranking.

The Commission found that Google gives preferential treatment to its own services, including shopping, hotels, transport and sports results, over those of third parties in Google Search, thereby breaching its obligations under the DMA.

Google displays its own services more prominently in search results, including at the top of the search results page or by using enhanced visuals and filters, while similar third-party services do not have the same prominence.

Google's anti-steering

Under the DMA, app developers that distribute their apps via Google Play should be able to inform customers - free of charge - of alternative, often cheaper, offers, and to direct them to those offers to make purchases, for example on websites or alternative app stores.

The Commission found that Google failed to comply with that obligation.

In particular, Google prevents app developers from freely communicating and promoting offers and concluding contracts with users in distribution channels of their choice, including third-party app stores.

While Google can receive a fee for facilitating the initial acquisition of a new customer by an app developer via Google Play, the level of the steering-related fees charged by Google and the length of the charging period for these fees went beyond what is considered compliant with the DMA.

As part of today's two decisions, the Commission has ordered Google to bring the non-compliance to an end.

Read the full press release