Google wins appeal against EU’s $1.7 billion antitrust fine

Google successfully challenged a €1.49 billion ($1.66 billion) fine imposed by the European Union in 2019.

• The General Court of the European Union annulled the fine, citing the fact that the European Commission had failed to take into account all the relevant circumstances.

Why do we care. The ruling marks a significant victory for Google in its ongoing legal battles with EU regulators and underscores the challenges antitrust enforcers face in their efforts to rein in Big Tech. It could also set a favorable precedent that helps Google in its ongoing case with the U.S. Department of Justice.

The big picture. The case is part of a wider crackdown on tech giants by EU Antitrust Commissioner Margrethe Vestager, who has had little success defending her decisions in court.

Details. The fine was imposed in relation to the Google AdSense platform and alleged anti-competitive practices between 2006 and 2016.

• The Court agreed with many of the Commission’s assessments, but found that harm to innovation, competition and consumers had not been proven.
• Already in 2016, Google made changes to its agreements, removing the relevant provisions.

Between the lines. The case focused on a narrow subset of certain publishers’ text search ads, which Google emphasized in its response to the ruling.

What’s next? The European Commission may appeal Google’s ruling to the Court of Justice of the European Union, raising points of law.

• The commission said it would analyse the ruling and consider possible next steps.

Summary. The ruling underscores the ongoing legal challenges facing both tech giants and regulators in the complex digital competition landscape.