Report from Euractiv
In Brief – When the European Commission hit Google with a $3.45 billion fine for a range of anti-competitive practices in its vast AdTech business, the regulator ordered Google to end self-preferencing practices and implement measures to cease its inherent conflicts of interest along the AdTech supply chain. In the decision announcement, EU competition chief Teresa Ribera said, “Google must now come forward with a serious remedy to address its conflicts of interest, and if it fails to do so, we will not hesitate to impose strong remedies.” Although the digital giant avoided a breakup order in the remedies phase of its US search monopoly trial last month, with Judge Amit Mehta rejecting the request of the US Department of Justice (DoJ) to force Google to sell the Chrome browser, the EU regulator appears to be leaning toward changes that are more substantive in this matter. Echoing the stance of her predecessor Margrethe Vestager, Ribera added, “At this stage, it appears that the only way for Google to end its conflict of interest effectively is with a structural remedy, such as selling some part of its AdTech business.”
Context – In April, US District Judge Leonie Brinkema ruled that Google violated antitrust law in two AdTech markets, one for advertising exchanges and a second for ad servers. The remedies phase of that trial is now underway, with the US DoJ and a group of State Attorneys General arguing that Google should be forced to sell off the advertising exchange AdX. However, that might not reflect President Trump’s personal views. At a major White House event on AI policy the day after Judge Mehta rejected the DoJ’s call to force Google to sell Chrome, President Trump called out Google’s CEO for the company’s “very good day” in court. However, President Trump does seem unequivocally opposed to the EU imposing major fines on US companies. Following the announcement of the AdTech fine, he released a Truth Social post calling it “very unfair” and threatening to have his administration “start a Section 301 proceeding to nullify the unfair penalties being charged to these Taxpaying American Companies.”