The fine had to be “modest” And the announced announcement of a few weeks, assured the last indiscretions coming from Brussels. It is therefore against all expectations that the European Commission decided to hit hard against Google. Friday, it inflicted a fine of 2.95 billion euros – the second largest fine in history – for having abused its dominant position on the program of programmatic advertising. And she threatened to impose a dismantling of the Mountain View giant’s advertising machine, an option that also seemed to have been dismissed. “At this stage, it seems that the only way for Google to effectively end its conflict of interest is a structural measure, as the sale of part of its Adtech activity”, underlines Teresa Ribera, the new European competition commissioner
Programmatic advertising – Open in 2021, the procedure concerns the role of Google in programmatic advertising, which has imposed itself in recent years as the ultra-dominant model on the Internet. This auction system, as opaque as it is sophisticated, allows you to automatically place ads and banners on websites, videos and mobile applications. The search engine occupies a central place there: it acts simultaneously as a seller, buyer and exchange platform. Even more problematic in the eyes of Brussels, it controls the most popular tools at each stage of the process: the DoubleClick advertising server (DFP), used by publishers to manage their spaces, Google ADS and DV360 purchasing solutions, used by advertisers to plan their campaigns, and the ADX real -time auction stock market.
“Autopreference” – According to the European Commission, this well -oiled machine – built in particular thanks to several acquisitions, including that of the DoubleClick Régie in 2007 for $ 3.1 billion – allows Google to act in an anti -competitive manner. She criticizes him in particular “Autopreference practices”. On the one hand, DFP exchange information in real time with ADX, allowing it to adjust its offers to ensure that you win the auctions. On the other hand, Google ADS and DV360 primarily guide their auctions to Adx, to the detriment of competing platforms. These practices, already at the heart of a fine of 220 million euros inflicted by the French Competition Authority in 2021, would have enabled ADX to strengthen its dominant position, while offering Google the possibility of “Invoice higher costs”.
Forced sale? – The Commission asks the company to interrupt its self -referral practices. She also leaves him a period of two months to offer other corrective measures to put an end to “Conflicts of inherent interests” in programmatic advertising. This phase of negotiations is usual, but the European executive goes this time further. He openly threatens to force the transfer of DoubleClick and Adx. A scenario already mentioned in 2023 by Margrethe Vestager, then competition commissioner, who considered that no classic remedy would solve the problem. Such a measure, unprecedented on the continent, would represent a major strategic turning point. But also an admission of failure: record fines and adjustments imposed in recent years by Brussels have not been enough to slow down the hegemony of Google.
Brussels does not give in to American pressures
Fourth fine – Between 2017 and 2019, Google had already received three fines for abuse of a dominant position: 2.4 billion euros for its Google Shopping price comparison, 4.3 billion for its Android mobile operating system, and 1.5 billion for its Adsense advertising platform. Each time, the group appealed to justice. His first sanction was definitively ratified in 2024, seven years after his formalization. The second was validated by the European Union court, but still has to be examined by the EU Court of Justice, the highest jurisdiction of the twenty-seven. On the other hand, Google obtained the cancellation of the third fine at first instance, pending the final verdict. The Californian giant has already announced his intention to appeal in this fourth conviction.
Independent subsidiaries – Traditionally, calls are not suspensive: the measures negotiated with Brussels remain in force until the end of the procedure. In the case of dismantling, the company should request an injunction, to block a sale of DoubleClick or ADX pending the final verdict. To avoid such an outcome, Google could also propose a radical solution, as in the United States in the context of legal proceedings launched by the Department of Justice: to place its two tools in independent subsidiaries. This offer, deemed insufficient, had been rejected by the American authorities. Since then, Google has been found guilty of “Illegal monopoly” during a trial. Hearings are scheduled for September to discuss corrective measures. The Doj also demands the sale of DoubleClick and Adx.
Trump s’insurge – Such firmness of Brussels was not expected. In recent months, the new European Commission has indeed adopted a more conciliatory discourse, believing that it is more effective to collaborate with technological giants so that they modify their practices, rather than inflicting heavy fines, whose efficiency is disputed. In the spring, she had thus chosen to inflict limited financial sanctions against Apple and Meta for not having respected Digital Markets Act, a new regulation which aims to strengthen competition in digital. In addition, Europe is still negotiating the terms of a trade agreement with Washington to avoid new customs duties. Friday, Donald Trump rebellious against a sanction deemed “Very unfair” et “discriminatory”threatening reprisals.
To go further:
– Despite its conviction, Google escapes a forced sale of chrome
– Google accelerates its transformation to generative AI
