European Commission fines Google €890m over Digital Markets Act breaches

• Google Search self-preferencing resulted in a €460m penalty.
• Google Play anti-steering practices led to a €430m fine.
• Failure to comply could trigger penalty payments of up to 5% of Google's worldwide turnover.
• Google retains the right to appeal the Commission's decisions.

The European Commission has fined Google €890 million ($1.02bn) after finding the company breached the Digital Markets Act (DMA) through its Google Search and Google Play practices.

Google received a €460m ($523m) fine for self-preferencing its own services in Google Search and a further €430m ($489m) over anti-steering practices on Google Play.

According to the Commission, Google gave its own services, including shopping, hotels, transport and sports results, preferential treatment over third-party services in Google Search. 

It said Google's own offerings were displayed more prominently through higher placement, enhanced visuals and filters, while competing services did not receive the same treatment.

The Commission also found that Google prevented app developers from freely informing users about alternative, often cheaper, purchasing options outside Google Play. It added that the company's steering-related fees and the duration of those charges exceeded what is considered compliant under the DMA.

Compliance measures

As part of its decision, the Commission ordered Google to end the non-compliance and implement measures that treat third-party services fairly in Google Search while allowing app developers to freely communicate, promote offers and conclude contracts with users both inside and outside Google Play.

The Commission further noted that Google has proposed and started testing changes to how it presents its own services in Google Search, including free services such as shopping, hotels and flights, as well as shopping ads and sports-related content. 

It also acknowledged changes to Google's steering terms, adding that these would be assessed as part of the compliance process.

Google must comply with the Commission's decisions within 60 days or risk periodic penalty payments of up to 5% of its total worldwide turnover. The search giant may appeal the decisions.