EU Fines Google €2.95 Billion Over Abuse of AdTech Dominance

The European Union has imposed a €2.95 billion fine on Google after ruling that the tech giant abused its dominant position in the online advertising market. The penalty, announced on September 5, follows a four-year investigation and marks one of the most significant antitrust actions the bloc has taken against a U.S. technology company.

The European Commission said Google unfairly promoted its own ad services, including its AdX exchange and DoubleClick for Publishers platform, while disadvantaging rivals. Regulators concluded that this practice harmed publishers and advertisers by limiting choice and driving up costs, with knock-on effects for consumers.

The case is the latest in a string of multibillion-euro fines against Google. Since 2017, the company has faced penalties for anti-competitive practices related to its search engine, Android operating system, and Google Shopping service. The latest action takes the EU’s total fines against Google to more than €10 billion.

Under the ruling, Google has 60 days to submit a plan addressing the Commission’s concerns. Officials warned that if the company fails to provide a satisfactory remedy, structural measures could be imposed, potentially forcing Google to divest parts of its ad-tech business. EU Competition Chief Teresa Ribera said that breaking up Google’s advertising operations may be the only effective way to end the conflict of interest.

Google has vowed to appeal, calling the ruling “wrong” and claiming that changes demanded by Brussels would harm thousands of European businesses that rely on its platforms. The company argued that its ad services provide valuable tools for publishers and advertisers, and that stricter enforcement would damage the broader digital economy.

The fine has also stirred political tensions. Former U.S. President Donald Trump criticized the decision as “very unfair” and suggested Washington could retaliate with tariffs on European goods. The case adds to growing transatlantic strains over technology regulation and trade policy.

Although the €2.95 billion penalty is substantial, analysts note it represents only a fraction of Google’s revenues, with the company reporting $28.2 billion in earnings in the second quarter alone. Experts suggest the bigger threat to Google lies not in the financial penalty but in the possibility of enforced structural remedies that could reshape its advertising empire.

The EU’s decision comes as regulators in the United States, Canada, and the United Kingdom conduct their own investigations into Google’s dominance in digital advertising. Together, these cases reflect mounting international pressure to curb the influence of Big Tech firms in the online economy