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EU Court upholds massive fines against Google and Apple

EU Court upholds massive fines against Google and Apple

The European Court of Justice has rejected Google and Alphabet’s appeal against the €2.4 billion fine imposed by the European Commission. This fine, issued in 2017, was the result of Google’s abuse of its dominant position in online search within the European Economic Area. The company was found to have unfairly favored its own product comparison service over those of its competitors.

Google had previously appealed the decision, but the General Court dismissed the case in November 2021. In response to the EU court’s final ruling, a Google spokesperson expressed disappointment, stating that the company had made changes in 2017 to comply with the Commission’s decision. These adjustments, Google claimed, have successfully operated for over seven years, generating billions of clicks for more than 800 price comparison services.

In another major decision, the EU Court has upheld the European Commission’s ruling against Apple, which found that the company had received illegal state aid from Ireland. Between 1991 and 2014, Apple benefited from €13 billion in tax advantages, which the Commission determined were unlawful. The court’s ruling overturns a previous decision from 2020 that had annulled the Commission’s findings.

European Commission Vice President Margrethe Vestager hailed both rulings as victories for EU citizens and tax justice. She emphasized that the €13 billion in unpaid taxes from Apple, which had been held in escrow, will now be released to the Irish state. The Irish government has confirmed that it will comply with the ruling.