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Europe just fined Google $1 billion, the day before Trump is expected to announce tariffs
The European Commission fined Google approximately $1 billion for manipulating search results to harm competitors and blocking app developers from directing customers to cheaper deals outside the Play store. This penalty comes a day before anticipated U.S. tariffs and follows a U.S. warning to the EU about fining American tech companies. The commission ordered Google to overhaul its Search ranking for rivals and its Play store operations, marking the first penalties for Google under Europe's Digital Markets Act. Of the fine, $524 million was for search violations and $490 million for Play store violations, with Google given 60 days to comply. Brussels expressed that Google's proposed changes showed "substantial progress" and would continue dialogue regarding AI Overviews and AI Mode. Google must now treat third-party services fairly in search and allow app developers to communicate offers outside the Play store. The commission emphasized that products should succeed on merit, not ownership by the search engine operator. Google, however, argued the changes would degrade its products and harm European businesses and consumers by stripping away real-time search features and dismantling safety protections. This fine adds to previous antitrust penalties the EU has imposed on Google, including a $3.5 billion fine last September for favoring its own ad-tech services and a $4.5 billion fine upheld by the EU's top court for abusing Android's dominance.