EU Fines Google $2.7 Billion

EU antitrust regulators hit Alphabet, the holding company which owns Google, with a record 2.42-billion-euro (2.14 billion pounds) fine, taking a tough line in the first of three investigations into the company's dominance in searches and smartphones.

It is the biggest fine the EU has ever imposed on a single company in an antitrust case, exceeding a 1.06-billion-euro sanction handed down to US chipmaker Intel in 2009.

The European Commission said the world's most popular Internet search engine has 90 days to stop favouring its own shopping service or face a further penalty per day of up to 5 percent of Alphabet's average daily global turnover.

The fine, equivalent to 3 percent of Alphabet's turnover, is the biggest regulatory setback for Google, which settled with US enforcers in 2013 without a penalty after agreeing to change some of its search practices. The EU competition enforcer has also charged Google with using its Android mobile operating system to crush rivals, a case that could potentially be the most damaging for the company, with the system used in most smartphones. The company has also been accused of blocking rivals in online search advertising.

The Commission found that Google, with a market share in searches of over 90 percent in most European countries, had systematically given prominent placement in searches to its own comparison shopping service and demoted those of rivals in search results.
"What Google has done is illegal under EU antitrust rules. It denied other companies the chance to compete on the merits and to innovate. And most importantly, it denied European consumers a genuine choice of services and the full benefits of innovation," European Competition Commissioner Margrethe Vestager said in a statement.
Google said its data showed people preferred links taking them directly to products they want and not to websites where they have to repeat their search.
"We respectfully disagree with the conclusions announced today. We will review the Commission's decision in detail as we consider an appeal, and we look forward to continuing to make our case," Kent Walker, Google's general counsel, said in a statement.

The action follows a seven-year investigation prompted by scores of complaints from rivals such as US consumer review website Yelp  TripAdvisor  UK price comparison site Foundem, News Corp and lobbying group FairSearch.

The penalty payment for failure to comply would amount to around $12 million a day based on Alphabet's 2016 turnover of $90.3 billion. The Commission did not specify what changes Google had to make.
"This decision is a game-changer. The Commission confirmed that consumers do not see what is most relevant for them on the world’s most used search engine but rather what is best for Google," said Monique Goyens, director general of EU consumer group BEUC.

Thomas Vinje, legal counsel to FairSearch, welcomed the Commission's findings and urged it to act on Google's Android mobile operating system following its 2013 complaint that Google restricted competition in software running on mobile devices.

Reuters

You Might Also Read: 

Google 'faces €1bn-plus fine' From EU:

EU / US Privacy Shield Affects Your Organisation:

 

« Petya: The Latest  Global Ransomware Incident
Intelligence-Led Policing Gets Automated »

CyberSecurity Jobsite
Perimeter 81

Directory of Suppliers

XYPRO Technology

XYPRO Technology

XYPRO is the market leader in HPE Non-Stop Security, Risk Management and Compliance.

North Infosec Testing (North IT)

North Infosec Testing (North IT)

North IT (North Infosec Testing) are an award-winning provider of web, software, and application penetration testing.

Practice Labs

Practice Labs

Practice Labs is an IT competency hub, where live-lab environments give access to real equipment for hands-on practice of essential cybersecurity skills.

BackupVault

BackupVault

BackupVault is a leading provider of automatic cloud backup and critical data protection against ransomware, insider attacks and hackers for businesses and organisations worldwide.

Perimeter 81 / How to Select the Right ZTNA Solution

Perimeter 81 / How to Select the Right ZTNA Solution

Gartner insights into How to Select the Right ZTNA offering. Download this FREE report for a limited time only.

Institute for National Security and Counterterrorism (INSCT)

Institute for National Security and Counterterrorism (INSCT)

INSCT is a center for the study of national security, international security, and counterterrorism. Research programs include New Frontiers in Science, Cyber, & Technology

Surrey Centre for Cyber Security (SCCS)

Surrey Centre for Cyber Security (SCCS)

The Centre focuses on three main research directions - Privacy and Data Protection, Secure Communications, and Human-Centred Security.

Telspace Systems

Telspace Systems

Telspace Systems provides penetration testing, vulnerability assessment and training services.

Appdome

Appdome

Appdome is the industry's first mobile integration as a service company, providing solutions for enterprise mobility and mobile application security.

Digital Hands

Digital Hands

Digital Hands is an award-winning managed security services provider.

Sasa Software

Sasa Software

Sasa Software is a cybersecurity software developer specializing in the prevention of file-based network attacks.

Matias Consulting Group (MCG)

Matias Consulting Group (MCG)

Your Business needs competitive and resilient ICT solutions. MCG defines, deploy & support them enabling you to focus on your core business.

Belkasoft

Belkasoft

Belkasoft is a software vendor providing public agencies, corporate security teams, and private investigators with digital forensic solutions.

CyberSaint Security

CyberSaint Security

CyberSaint’s CyberStrong Platform empowers organizations to implement automated, intelligent cybersecurity compliance and risk management.

Nihon Cyber Defense

Nihon Cyber Defense

Nihon Cyber Defence’s mission is to provide robust solutions, services and support to governments, corporates and organisations in order to protect them from all forms of cyber warfare.

Darktrace

Darktrace

Darktrace is a global leader in cybersecurity AI, delivering complete AI-powered solutions in its mission to free the world of cyber disruption.

Concorde Technology Group

Concorde Technology Group

Concorde Technology Group is one of the UK’s leading IT support and services providers, delivering cost-effective and innovative IT solutions to businesses across the country.

Board of Cyber

Board of Cyber

Board of Cyber offers Security Rating: a fast, non-intrusive, continuous, 100% automated solution to evaluate the cyber performance of an organization.

ThreatView by Turaco Labs

ThreatView by Turaco Labs

ThreatView combines extensive experience in digital forensics with advanced analytics and threat detection capabilities to protect eCommerce websites.

Smartcomply

Smartcomply

Smartcomply is an automated and AI-powered cybersecurity and compliance platform that aids businesses in reducing the time and money spent on cybersecurity and compliance.

Velaspan

Velaspan

Velaspan design, deploy, and manage enterprise wireless networks and cybersecurity solutions for leading businesses and brands.