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EU Fines Google €890 Million and Orders Changes to Search and Play Store

The rulings force operational fixes under a 60‑day compliance clock that seek to boost competition, risk steep daily penalties for non‑compliance, and raise the prospect of U.S. trade retaliation.

Overview

  • The European Commission on July 23 issued two Digital Markets Act non‑compliance decisions that together impose €890 million in fines and require Google to stop privileging its own services and to loosen limits on app‑developer steering.
  • One fine of €460 million targets self‑preferencing in Search, where regulators found Google gave its shopping, hotels, transport and sports results stronger placement and visuals than rival services.
  • A second fine of €430 million faults Google Play for blocking developers from pointing users to cheaper offers outside the store and for charging steering‑related fees beyond what the DMA allows.
  • Google has begun testing technical fixes and says it may appeal, while the Commission described the proposed changes as substantial progress and is still clarifying how the DMA will apply to Google’s AI search features.
  • The decisions mark a shift in EU enforcement toward pairing behavioural remedies with sanctions, they give rivals and app developers clearer rights, and they have heightened U.S.‑EU tensions with U.S. officials warning of possible retaliatory tariffs.