Google Appeals Record €4.12 Billion EU Antitrust Fine Over Android

Google has returned to court to contest a €4.12 billion ($4.33 billion) antitrust fine imposed by the European Commission in 2018. The penalty, one of the largest in the history of EU antitrust enforcement, targeted Google’s Android operating system for allegedly stifling competition.

The tech giant is appealing the decision before the Court of Justice of the European Union (CJEU) in Luxembourg, marking a critical phase in the ongoing legal battle.

According to the Wall Street Journal, the case stems from claims that Google leveraged its dominance by requiring phone manufacturers to pre-install Google Search, the Chrome browser, and the Google Play app store on Android devices. EU regulators argued that these requirements undermined competition and reinforced Google’s market power.

This appeal follows a 2021 decision by a lower EU court, which upheld the European Commission’s ruling but slightly reduced the original fine to €4.1 billion. Google is now seeking a complete reversal, arguing that the Commission misinterpreted both its business practices and their impact on competition.

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“Google does not contest or shy away from its responsibility under the law, but the Commission also has a responsibility when it runs investigations, when it seeks to reshape markets and second-guess pro-competitive business models, and when it imposes multi-billion-euro fines,” Google’s lawyer, Alfonso Lamadrid, told the court. Per the Wall Street Journal, Lamadrid contended that Google’s practices, including its agreements with manufacturers, did not hinder competition but instead promoted it through innovation and consumer choice.

The European Commission, however, maintains its position, asserting that Google’s practices created significant barriers for rivals in the mobile operating system and search engine markets. Regulators allege that the company’s contracts effectively excluded alternative systems based on Android from competing on equal footing.

The case, listed as C-738/22 P – Google and Alphabet v Commission

Source: Wall Street Journal