The European Union has fined Google €890 million for giving its own apps preferential treatment in search results and restricting developers on the Play Store. The penalty, announced Tuesday, is the first major enforcement action under the bloc's Digital Markets Act, or DMA.
Why the fine was issued
Regulators found that Google's own shopping, travel, and other services appeared more prominently in search results than those of competitors. That self-preferencing violated the DMA's ban on gatekeepers favoring their own products. The company also limited app developers' ability to inform users about alternative payment options outside the Play Store, another breach of the law.
What the Digital Markets Act targets
The DMA applies to large online platforms designated as gatekeepers — companies with significant market power that act as entry points for users. It prohibits them from ranking their own products higher than rivals' and requires them to allow developers to use third-party payment systems. The law also mandates that developers can communicate freely with users about offers outside the platform.
The scale of the penalty
At €890 million, the fine is substantial but well below the maximum possible penalty of 10% of global annual turnover. The European Commission calculated the amount based on the severity and duration of the violations. Google has not yet said whether it will appeal.
The case is the first test of the DMA's enforcement powers since the law took effect. The Commission has ordered Google to stop the practices and ensure full compliance. How the company responds — and whether other gatekeepers face similar actions — will shape the DMA's impact on the tech industry.
