Apple and Google Hit with Multi-Billion Dollar Fines by European Regulators

Apple and Google Hit with Multi-Billion Dollar Fines by European RegulatorsApple and Google Hit with Multi-Billion Dollar Fines by European RegulatorsApple and Google Hit with Multi-Billion Dollar Fines by European Regulators

On September 10, 2024, the European Court of Justice ruled that Apple and Google must pay substantial fines, totaling billions of euros, as part of ongoing regulatory efforts to hold major tech companies accountable for tax and antitrust violations.​ These decisions are significant in the European Union’s campaign to impose stricter regulations on tech giants and ensure fair competition.

Apple has been ordered to pay €13 billion (approximately $14.4 billion) in back taxes to Ireland after the court upheld a 2016 ruling by the European Commission. The court found that Ireland granted Apple unlawful state aid, which allowed the company to significantly underpay its taxes for nearly two decades, resulting in rates as low as 0.005%.

In a separate decision, the court also upheld a €2.4 billion ($2.6 billion) antitrust fine against Google for abusing its dominant market position. The ruling concluded that Google had favored its own shopping service in search results over those of its competitors, denying consumers a genuine choice.

These judgments are final and cannot be appealed, indicating a robust stance from the European Union against large technology firms. Margrethe Vestager, the EU’s antitrust chief, hailed the decisions as a victory for “European citizens and tax justice,” reinforcing the EU’s regulatory authority over multinational corporations.

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