The European Commission is poised to impose its first financial penalty under the Digital Markets Act (DMA) on Google, according to a report from the German financial daily Handelsblatt. Citing two senior EU officials who spoke on condition of anonymity, the newspaper said the fine could reach approximately €1 billion and would be announced on Thursday.
The penalty relates to two separate proceedings launched by the Commission in March 2024. The first case examines whether Google unfairly privileges its own services—such as shopping, travel, or local listings—in search results over those of competitors. The second case focuses on allegations that Google prevents app developers from informing users about cheaper or alternative download options outside the Google Play Store, a practice known as anti-steering.
The final amount of the fine will be decided by the College of Commissioners, the executive body led by Ursula von der Leyen. Neither Google nor the European Commission's spokespersons have commented publicly on the report.
DMA as a New Regulatory Tool
The Digital Markets Act, which came into full effect in 2024, is designed to curb the market power of large technology platforms—designated as “gatekeepers”—by imposing strict rules on their operations. The law aims to give European consumers and businesses more choice and to foster fair competition in digital markets. Google, along with other major US tech firms, has been designated a gatekeeper under the DMA.
The reported fine would mark the first time the EU has used the DMA to penalise a company, setting a precedent for enforcement of the landmark regulation. The Commission has also ordered Google to share search data with rival search engines by January 2027 and to open its Android operating system to competing artificial intelligence services, as part of ongoing DMA compliance measures.
EU tech chief Henna Virkkunen said these requirements would allow European users to enjoy “greater choice” of digital services. Google’s head of global affairs, Kent Walker, countered that the EU’s approach risked “undermining vital privacy and security guardrails for millions of Europeans.”
Transatlantic Tensions
The timing of the expected fine is politically sensitive. The administration of US President Donald Trump has repeatedly criticised the European Union for what it views as disproportionate targeting of American technology companies. Washington has accused Brussels of using regulation as a tool to disadvantage US firms in the European market.
This latest move could further strain relations between the EU and the United States, which have already been tested by disputes over trade tariffs, defence spending, and digital taxation. The fine also comes amid broader geopolitical friction, including recent tensions over the World Cup final and other diplomatic encounters.
While the Commission has not confirmed the report, the potential fine underscores the EU’s determination to enforce its digital rules even at the risk of provoking Washington. For European policymakers, the DMA represents a cornerstone of digital sovereignty—a means to ensure that the continent’s digital economy operates on terms set in Brussels, not Silicon Valley.
Google has not indicated whether it would challenge the fine or the underlying DMA orders in court. The company has previously argued that the DMA’s requirements could harm user privacy and security, a position it is likely to reiterate if the penalty is formally announced.
