The European Commission has imposed a €2.95 billion fine on Google for violating EU antitrust rules by favouring its own advertising technology services over competitors, a move that distorted competition and harmed advertisers and publishers. The ruling also requires Google to end these self-preferencing practices and address conflicts of interest across the adtech supply chain. The company now has 60 days to present its proposed measures to the Commission.

Google, a US technology giant whose main source of revenue is advertising, operates across multiple layers of the online ad ecosystem. The company sells advertising on its own platforms and acts as an intermediary between advertisers and third-party publishers. Advertisers and publishers rely on digital tools for placing non-search display ads, such as banners on news websites. These tools include publisher ad servers, programmatic ad buying platforms, and ad exchanges that connect supply and demand in real time.

Within this landscape, Google operates ad buying tools—Google Ads and DV360—a publisher ad server, DoubleClick for Publishers (DFP), and its ad exchange, AdX.

The Commission’s investigation found Google to be dominant in the European Economic Area (EEA) in both publisher ad servers and programmatic ad buying tools. Between 2014 and today, the company abused this dominance by:

• Giving its ad exchange, AdX, preferential treatment in the ad selection process of its publisher ad server, DFP, including informing AdX in advance of competitor bid values.
• Ensuring its ad buying platforms, Google Ads and DV360, primarily bid on AdX rather than competing ad exchanges, reinforcing AdX’s attractiveness and central role.

According to the Commission, these actions were intended to give AdX an unfair competitive advantage, effectively foreclosing rival ad exchanges and allowing Google to charge higher fees for its services.

Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, commented: “Today’s decision shows that Google abused its dominant position in adtech harming publishers, advertisers, and consumers. This behaviour is illegal under EU antitrust rules. 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. Digital markets exist to serve people and must be grounded in trust and fairness. And when markets fail, public institutions must act to prevent dominant players from abusing their power. True freedom means a level playing field, where everyone competes on equal terms and citizens have a genuine right to choose.”

Google is now obliged to submit within 60 days details on how it will end these self-preferencing practices. The Commission will assess whether the proposed measures sufficiently address the inherent conflicts of interest in the adtech supply chain. While the Commission’s preliminary view suggests that divestment of part of Google’s services may be necessary, it will first consider the company’s proposals.

The fine was calculated in line with the Commission’s 2006 guidelines, considering factors such as the gravity and duration of the infringement, Google’s EEA turnover from AdX, and the company’s previous record of antitrust fines.

This case complements parallel US investigations, including an upcoming trial on remedies scheduled for 22 September 2025, reflecting concerns over similar practices.

The investigation began in June 2021, with Google responding to a Statement of Objections issued in June 2023. The EU legal framework, under Article 102 of the Treaty on the Functioning of the European Union (TFEU) and Article 54 of the European Economic Area (EEA) Agreement, prohibits abuse of a dominant position, while allowing companies to hold market dominance provided it is not used to restrict competition.

Companies and individuals affected by Google’s anti-competitive practices may pursue damages through national courts, which may award compensation without reducing amounts due to the EU fine. The Antitrust Damages Directive provides guidance for quantifying such harm.