Google Loses Appeal Over Record 4.1 Billion Euro EU Antitrust Fine

Europe's highest court on Thursday upheld a 4.1 billion euro ($4.67 billion) antitrust penalty against Google, ending the company's years-long effort to overturn a ruling tied to its Android mobile dominance.

The European Court of Justice dismissed Google's appeal in full, affirming the fine that the European Commission first imposed in 2018. The Commission found that Google had abused Android's position in the mobile market by requiring smartphone manufacturers to pre-install its own apps, giving those products an unfair advantage over rivals.

"The Court of Justice dismisses the appeal brought by Google and Alphabet against that judgment of the General Court, thereby confirming the penalty imposed on them, as revised by the General Court, for their anticompetitive practices relating to the Android operating system," the ECJ said in a press release.

The fine had already been reduced once. In 2022, a lower EU court trimmed the original 4.34 billion euro penalty to the current 4.1 billion euros.

Google pushed back on the ruling, pointing to its longstanding position that Android creates choice rather than restricting it.

"Android provides more choice for everyone and supports thousands of businesses. This judgment fails to recognize our significant investment to ensure Android remains open, interoperable and free," a Google spokesperson told CNBC. "In any event, we adapted our agreements to comply with the initial decision back in 2018 and we remain focused on continued innovation and openness for our users, partners and developers."

Shares of Google parent Alphabet were around 1% lower in premarket trading following the ruling.

The Commission opened proceedings against Google in 2015, and the Android case has been working its way through the EU court system for nearly a decade. In 2023, the Commission issued a separate 2.95 billion euro fine against Google over alleged anti-competitive practices in its advertising technology business.

The decision comes as the EU broadens its scrutiny of large technology platforms under the Digital Markets Act, with Apple and Meta also facing active investigations.

The ruling lands against a backdrop of heightened transatlantic tension over Europe's treatment of American technology firms. Last month, President Donald Trump threatened a "100% TARIFF" on goods from any country that imposes a digital services tax on U.S. companies. Several European nations, including France and Spain, have enacted such taxes.

In March, U.S. Ambassador to the EU Andrew Puzder told CNBC that Europe "can't over regulate" and hit companies with "huge fines" if it is going to participate in the AI economy.

Thursday's ECJ ruling removes Google's last avenue of appeal on the Android case within the EU court system, signaling that the Commission's decade-long enforcement action has reached its legal conclusion — even as regulators open new fronts under the Digital Markets Act.

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