EU's €890M Google Fine Escalates U.S.-EU Trade Tensions

The European Commission fined Google €890 million ($1.0 billion) for violating the Digital Markets Act, saying the company unfairly favored its own services in search results and restricted app developers from directing users to alternative payment options outside Google Play. The EU ordered Google to change those practices. Google said the ruling will make its products less useful and secure and plans to appeal.

The decision adds to U.S.-EU trade tensions. U.S. Trade Representative Jamieson Greer argued that the EU is disproportionately targeting successful American technology companies. That argument has been cited as a potential basis for action under Section 301 of the Trade Act of 1974, which allows the U.S. Trade Representative to investigate foreign policies deemed unreasonable or discriminatory and recommend retaliatory tariffs.