Google fined 1 billion euros under EU's Digital Markets Act

The European Commission has imposed a fine of 890 million euros (approximately $1 billion) on Google, alleging the tech giant unfairly favored its own services in search results. The EU's executive arm announced the penalty on Wednesday, stating that Google provided preferential treatment to its proprietary services, such as hotels and shopping, over those of third parties.

This is the first fine Google has received under the European Union's stringent Digital Markets Act (DMA), legislation designed to curb the market power of large technology companies and foster a more competitive digital landscape in Europe.

The Commission also found that Google violated "anti-steering" provisions. These rules require that app developers must be able to inform users about alternative, potentially cheaper offers. Developers should also be permitted to direct users to these offers, even if they are outside the Google Play Store.

Google was found to have prevented app developers from freely communicating and promoting offers, and from concluding contracts with users through their chosen distribution channels. The company has been ordered to treat third-party services in search results in a fair and non-discriminatory manner. Additionally, Google must allow app developers to promote offers and enter into contracts with users outside of the Google Play Store.

Google has not yet commented on the decision.