The dominant anti-trust watchdog of European Union will blow Google with a record fine this week in another case of “European slap against a U.S. technology major”, sources confirmed.
Headed by hard-charging Margrethe Vestager, Competition Chief of European Commission, the European Union will enforce a huge fine against Google that might break the past record set in 2009 of 1.06 Billion Euros against the U.S chipmaker, Intel.
More prominently for Google, Vestager will command that the U.S. technology major to modify its business practices to fit in the list European Union. The move, expected this week, comes a year post Vestager surprised the world and annoyed the Obama Government with an order that Apple must repay 13 Billion Euros in Ireland in back taxes.
Sources having deep knowledge of the matter stated that Google’s penalty would range from 1.1 Billion Euros to 2.0 Billion Euros. As per the European Union record, this is well below the utmost possible limit of 10% of total income of Google last year or almost 8.0 Billion Euros.
Vestager blames Google of providing top priority to its own online shopping services in search results.
In different Google cases, the European Union is analyzing AdSense advertising service of Google and its mobile phone software based on Android platform. If verified that the fine might come after a prolonged period in which the 2 sides attempted to resolve the case harmoniously. The cases have put fuel on tensions with Washington and might now face the anger of Donald Trump, the U.S. President.
“We carry on to work profitably with the European Commission and we consider strongly that our novelties in online shopping have been good for retailers, shoppers, and competition,” said spokesperson for Google, Mark Jansen.
The Commission, which makes European Union competition rules, rolled out an initial inquiry in 2010 into Google following complaints from rivals such as Trip Advisor and Microsoft that it favored its self shopping services when users ran searches.
Well, let us see if this move by European Union will be profitable or will cause a huge loss since it has angered the U.S President.