Google challenges record European Union antitrust fine in court
12 September, 2017, 00:47 | Author: Irene Delgado
Google faces a further fine amounting to 5% of the average daily global earning of its parent company Alphabet (NASDAQ:GOOG) if it continues its practices after the deadline. This appeal is not suspensive; Google will therefore have to pay the fine.
Google has filed a legal appeal against a record-breaking fine handed down by the European Commission this summer for anti-competitive behavior relating to the operation of its product search comparison service, now known as Google Shopping.
The EU competition enforcer will defend its decision in court, a spokesman said. Google had initially said that they "respectfully" disagrees with the legal argument.
Google took its fight over a record European Union antitrust fine to the EU courts, starting a legal challenge that could take years to conclude.
A court battle between Brussels and Google could take years to resolve and adds to an increasingly bitter row between the U.S. giant and European countries.
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The EU flag is seen with Google logo.
Google confirmed the appeal but declined CNET's request for further comment.
The EU's enforcement wing, the European Commission, issued the massive penalty in June, accusing Google of boosting its own comparative shopping tool in its search results at the expense of other services.
In an interview with AFP, Europe's anti-trust chief Margrethe Vestager last week said some of that proposal "pointed in the very right direction", but could only be judged once in effect. These concern the contracts for its AdSense advertising service and the licensing of its Android mobile phone operating system.
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It is now testing this service and many users have seen a new option to share photos and videos which are created with Instagram . Ever since Facebook acquired Instagram in 2012, the two apps have mostly been kept separate, according to TechCrunch .
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And, the company said it will concentrate its expansion in the channels where customers are shopping - namely online and value. The company also plans to streamline operations, which is estimated to eventually save $500 million annually.
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