Google dealt blow as EU court advisor backs antitrust regulators over €4.12b fine
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The news: Google’s efforts to overturn a record fine issued by the European Commission were dealt a major setback on Thursday after an adviser to the EU’s top court agreed with Brussels regulators that the tech player’s conduct constituted a form of market abuse.
The numbers: Juliane Kokott, advocate-general of the European Court of Justice (ECJ), the EU’s highest court, said that the €4.12 billion ($7.32 billion) fine issued against the US company in 2022 should be upheld. Kokott added that the lower court was correct to reduce the original 2018 fine of €4.34 billion by €200 million.
The context: Kokcott’s opinion says that Google’s practice of imposing restrictions on Android device manufacturers and mobile network providers was part of a broader strategy by the tech giant to preserve its dominant position in search.
"Very few undertakings achieve such renown that their name gives rise to a verb. This alone attests to the importance that Google has acquired in everyday life," Kokott wrote.
The opinion continues: “Google held a dominant position in several markets of the Android ecosystem and thus benefited from network effects that enabled it to ensure that users used Google Search,” said Kokott. “As a result, Google obtained access to data that enabled it to turn to improve its service.”
Kokott’s opinion cements the European Commission’s position that Google’s conduct constitutes a form of market abuse. While her comments are not binding judges often follow advice handed down by advocates general.
Kokott asked the ECJ to dismiss Google’s appeal, stating that the “the legal arguments put forward by Google are ineffective.” A final ruling on the appeal is expected later this year.
The sources: ECJ Advocate General's opinion, FT, Politico, Reuters
