EU Prepares Record DMA Fine Against Google Over Search Self-Preferencing, Decision Expected Before Summer
The European Commission is finalizing a penalty of several hundred million euros against Alphabet's Google for allegedly favoring its own services in search results, in what would be the largest fine under the Digital Markets Act.
The European Union is poised to impose a landmark financial penalty on Google for violating the Digital Markets Act (DMA), according to a report by Germany's Handelsblatt citing Commission sources. The fine, described as a high triple-digit million euro amount, would be the largest sanction ever issued under the bloc's regulatory framework designed to curb the power of Big Tech.
The Investigation and Allegations
The formal investigation was launched in March 2025, focusing on concerns that Google favors its own services—such as shopping, travel, and local search—within its search engine results. The probe aims to ensure the world's most popular internet search engine complies with EU competition rules. Earlier this month, the Commission granted Google additional time to address regulatory concerns after a previous proposal from the company was deemed insufficient.
The Looming Penalty
The decision is reportedly nearing completion and is expected to be announced before the European Commission's summer recess in August. The penalty would surpass the previous DMA record of €200 million handed to Apple in April 2025 over App Store steering rules. Under the DMA, the Commission can fine gatekeepers up to 10% of their global annual turnover, which for Alphabet could theoretically reach $35 billion, though the figure under consideration is at the lower end of the available range.
- Digital Markets Act enters into force
- EU formally opens non-compliance investigation into Google's search self-preferencing
- Apple fined €200m under DMA for App Store steering rules, setting previous record
- Separate DMA proceeding opened against Google over alleged demotion of news publishers
- Commission grants Google additional time to address concerns after initial proposal falls short
- Expected announcement of record DMA fine before Commission's summer recess
Brussels' Stance on Compliance
European Commission spokesperson Thomas Regnier emphasized that the institution's primary interest is securing compliance rather than imposing penalties. However, he warned that the Commission will not hesitate to move to the next steps as quickly as possible, even during negotiations on future solutions.
Even with our negotiations on future solutions, we will not hesitate to move to the next steps as soon as possible.
Google's Response
Google has sharply criticized the impact of the EU's rules on its search product, arguing that the changes already implemented under the DMA have significantly degraded the user experience in Europe. The company described the modifications as the biggest downgrade in the product's history, creating a second-rate experience for Europeans to the benefit of a few self-interested complainants. Despite this criticism, Google has expressed a willingness to resolve the case and has signaled it intends to challenge any adverse decision in the EU's General Court.
The changes we've already made to Search under the DMA represent the biggest downgrade in the product's history, creating a second-rate experience for Europeans to the benefit of a few self-interested complainants.
Broader Regulatory Context
The DMA, which entered into force in March 2024, was designed to move faster than the older antitrust regime that previously produced multibillion-euro fines against Google. A separate proceeding, opened in November 2025, deals with Google's alleged demotion of news publishers in search results. The current case represents a critical test of the EU's new regulatory powers over dominant digital platforms.
