Google Faces $9 Billion EU Fine

PaulRubens - June 16, 2017 - 09:21 AM

Google Faces $9 Billion EU Fine

The search giant could be fined up to 10% of its annual revenues for alleged antitrust activities.

(CCM) — Google will be hit by a record-breaking fine for antitrust activities in the coming weeks, The Wall Street Journal is reporting. The paper says the EU could fine Google up to 10% of its annual revenue, which would amount to $9 billion. This is nine times higher than the previous record antitrust fine of about $1 billion, levied against Intel in 2009.

The fine will be levied by the European Union because of Google's comparison shopping practices. The company is accused of skewing results of product searches towards its own service, so that shoppers are more likely to end up buying from Google or its partners rather than third parties. The actual fine will be calculated as up to 30% of Google's shopping revenues multiplied by the number of years that the offending behavior has been carried out.

The fine will be imposed by the EU's competition commissioner, Margrethe Vestage, who in 2015 presented Apple with a €13 billion tax bill.

Google has also been the subject of EU antitrust investigations looking at its display advertising business and its Android mobile operating system.

Image: © Stefano Garau - Shutterstock.com

Latest update on June 16, 2017 at 09:21 AM by PaulRubens.

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