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EU to fine Google several hundred million euros for breaching Digital Markets Act

EU to fine Google several hundred million euros for breaching Digital Markets Act

The European Union is preparing to fine US technology giant Google several hundred million euros following an extensive antitrust investigation, CNBC reported, citing German newspaper Handelsblatt and sources within the European Commission. Officials expect an official announcement of the penalty before the start of the summer recess in EU institutions. The sanction would be the largest financial penalty under the Digital Markets Act (DMA), legislation designed to curb monopolistic behavior and limit the market power of the world’s largest digital platforms.
 At the core of European regulators’ claims is the allegation that Google systematically prioritizes its own specialized services in search results, disadvantageous to independent competitors. Representatives of the technology giant have repeatedly criticized Brussels’ actions. Company executives said that forced algorithmic changes to comply with European rules had produced the most serious deterioration in the search engine’s quality in its history, inconveniencing millions of users to address the interests of a small number of complainants.
Rising pressure from European authorities on US big tech firms has prompted concern in Washington. The US ambassador to the EU, Andrew Pazder, earlier publicly urged Brussels to rethink its policy of imposing massive fines on American IT companies. The diplomat warned that, if Europe seeks to be a full participant in the global artificial intelligence economy, it urgently needs access to American data centers and advanced equipment and that excessive regulatory pressure could deprive the region of US technological support.

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