【GOOG】Google’s Android monopoly ends in final ruling; fined €4.1 billion by the European Union

Alphabet (US: GOOGL) subsidiary Google lost the final appeal in the EU Android anti-monopoly case and must pay a fine of €4.1 billion. The EU’s highest court dismissed the appeal by Google and parent company Alphabet, confirming that Google abused its dominant market position through arrangements related to the Android operating system.

The European Commission had earlier issued a €4.34 billion fine to Google in 2018, saying Google required smartphone manufacturers through agreements to preload Google Search, the Chrome browser, and the Google Play app store on Android devices, while restricting phone makers from using competing systems.

Android case dragged on for 8 years

Google later filed an appeal. In 2022, the EU General Court upheld most of the European Commission’s rulings, but reduced the fine from €4.34 billion to €4.1 billion. Google then appealed again to the EU’s highest court in Luxembourg, which ultimately rejected the appeal.

EU’s highest court judges said Google and Alphabet’s appeals against the General Court’s judgment were rejected, confirming that Google was punished for abusing its dominant position in the context of the Android operating system through Google Search.

Google said the ruling did not sufficiently consider the company’s investments to ensure Android remains open, interoperable, and free. The company added that after an initial decision earlier than 2018, it had already adjusted the relevant agreements to comply with regulatory requirements, and would continue to focus on innovation and keeping the platform open.

EU steps up crackdown on big tech companies

Over the past decade, Google has been fined nearly €11 billion in the EU across different antitrust cases. Although this fine is less than 3% of Alphabet’s annual earnings, losing the final appeal may prompt other regulators and companies to pursue damages from Google more actively.

After Google lost an antitrust case over shopping comparison services, it has already faced corporate claims from multiple countries. A Swedish court ordered Google on Wednesday to pay PriceRunner roughly $1.5 billion in compensation.

Google may still face more regulatory pressure in the EU in the future, including allegations that it favors its own services and products in search results, as well as practices related to app stores. These areas are key focus points under the EU’s Digital Markets Act for regulating big tech companies.