The European Commission has imposed a Fine of 2,950 million euros for anti -competitive practices in your advertising technology business. Google has announced that it will appeal the decision and Trump has threatened with new tariffs.
The European Commission explains that Google has violated EU’s antitrust standards by distorting competition in the advertising technology sector (ADTECH). The Commission considers that Google did it by favoring its own services to the detriment of its competitors, suppliers of advertising technology services, advertisers and online editors.
The Commission Order Google to put an end to these monopolistic practices and that implements measures to end what he calls “His conflicts of inherent interests throughout the adtech supply chain”. Google now has 60 days to inform the commission about how it intends to do so and the measures it will adopt.
What a fine to Google and Trump threatens
Google has a long history of sanctions for anti -competitive practices. The monopoly relative in Adtech is the second of greatest amount of the EU history, after the 2018 historical with 4.3 billion euros. And not only in Europe. In the United States, the case of the monopoly is still pending in internet searches, a behavior for which it was sentenced last year and for which the Department of Justice came to ask for the company’s division with the sale of Chrome.
The European Commission also goes by that way and has reiterated its preliminary position that Google should detach itself from its services, although it will first evaluate the requested compliance efforts. “Google must now propose a serious solution to resolve your conflicts of interest, and if it does not, we will not hesitate to impose forceful measures”said Teresa Ribera, vice president and responsible for competition of the CE.
«Digital markets exist to serve people and should be based on trust and equity. When the markets fail, Public institutions must act to prevent dominant actors from abusing their power«Ribera added.
Google responds
Lee-Anne Mulholland, Vice President and Global Director of Regulatory Affairs of the Internet giant, has assured that “There is nothing anticompetitive in offering services to buyers and advertising sellers, and there are more alternatives to our products than ever”.
«The European Commission’s decision on our advertising technology services It is wrong and we will appeal. It imposes an unjustified fine and demands changes that will harm thousands of European companies, making profitability difficult for them »Mulholland says in an already typical response to this type of sanctions.
It should be remembered that online advertising is Google’s financial base. Alphabet, his parent company, reported quarterly profits of 28.2 billion dollars in July, mainly from advertising.
Y Donald Trump
The president of the United States has threatened with new tariffs if the European Commission does not withdraw the fine to Google. “It is very unfair and the American taxpayer will not tolerate it!”Trump declared on his social network. “As I said before, my administration will not allow these discriminatory actions to remain”warning that if the fine is confirmed, will begin procedures to impose tariffs as retaliation.
To point out that the EU fine to Google comes only one day after Trump’s meeting at the White House with important technological leaders, including Google executive director Pichai.
The European Council of Editors is not satisfied
The media organization that filed the initial demand for the practices investigated by the EU, said that A fine was not enough. “Without a strong and decisive application, Google will simply consider this as a business cost while consolidating its domain in the AI era”said its director, Angela Mills Wade, in an argument that has been repeated in all the impositions of monopoly sanctions. However high the fines are, these giants are more profitable to pay them while they can maintain the practices that ensure the domain of the sector.
