The European Commission is preparing a fine in the high triple-digit million euro range against Alphabet’s Google over its search practices, Germany’s Handelsblatt reported on May 25, citing Commission sources. The penalty, which would mark the largest ever imposed under the EU’s Digital Markets Act (DMA), is expected to be formally announced before the summer recess. The case, launched in March 2025, centers on concerns that Google systematically favors its own vertical search products — including Google Shopping, Google Flights, and Google Hotels — over competing services in its search results. A Google spokesperson pushed back sharply, saying the DMA-mandated changes to Search represent the product’s biggest downgrade in its history, arguing the rules benefit a small number of rivals at the expense of European users and businesses.
The Commission signaled it remains more focused on securing lasting compliance than on the fine itself; spokesperson Thomas Regnier said regulators will not hesitate to proceed with enforcement regardless of ongoing settlement talks. Earlier this month the Commission gave Google additional time after a previous compliance proposal was deemed insufficient. The looming penalty is separate from a €2.95 billion (~$3.45 billion) fine the Commission imposed on Google earlier this year for preferencing its display advertising technology under older antitrust rules, and from a parallel DMA investigation into Google Play. Under the DMA, gatekeeper platforms face fines of up to 10% of global annual turnover for violations; Alphabet reported over $300 billion in revenue in 2024.