The European Union has imposed fines totalling €890 million on Google in a decision that threatens to escalate tensions between Brussels and Washington.

The European Commission announced two separate penalties against the US technology giant on Thursday. The first fine of €460 million relates to Google illegally prioritising its own services, such as Google Flights and Google Hotels, over competitors in search results.

A second penalty of €430 million was issued because Google prevented app developers from showing consumers offers outside of its Google Play store free of charge.

Record penalty under digital competition law

The fines represent the largest total amount imposed on a single company under the Digital Markets Act (DMA), which came into effect in 2024. The legislation aims to ensure fair competition in the digital sector by limiting what Brussels considers excessive market power held by major technology firms.

EU tech chief Henna Virkkunen said the decision aims to boost competition and allow other companies to innovate. A senior EU official confirmed that Google continues to favour its own services, though the second fine covers violations between March 2024 and December 2025.

The penalties amount to 0.22% of Google’s global turnover, according to a second EU official. Under the DMA, the Commission can impose fines of up to 10% of a company’s total worldwide revenue for breaches.

Google disputes enforcement approach

Google has criticised the EU’s regulatory approach, arguing that Brussels is forcing the company to remove features that European users value.

Kent Walker, Google’s head of global affairs, said in a statement that the company is being made to strip away real-time search features including instant pricing and direct availability for hotels, flights and restaurants.

“Regulation should improve products, not make them worse,” Walker said, adding that the EU is dismantling safety protections on Google Play.

EU competition chief Teresa Ribera defended the action, stating that the best products should succeed based on quality rather than ownership by the company running the search engine.

Political timing raises stakes

The fines come days before the first anniversary of a tariff agreement between Washington and Brussels that reduced trade friction. President Donald Trump’s administration has previously accused the EU of unfairly targeting American technology companies and threatened retaliatory tariffs.

Google is familiar with EU penalties, having been fined a total of €8.2 billion between 2017 and 2019. Brussels imposed a separate €2.95 billion fine in September 2025, after which Trump threatened EU retaliation.

Ribera told reporters on Thursday that the EU’s duty is to ensure regulations adopted by its institutions are fully enforced and respected. She noted that US authorities are dealing with similar approaches in their own antitrust cases.

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Some 25 Republican lawmakers wrote to Trump on Tuesday urging the president to use trade investigation tools against what they called the EU’s discriminatory digital rules.

Virkkunen said Europe remains committed to enforcing its regulations despite potential political pressure.

Google faces periodic penalty payments if it fails to comply with the ruling within 60 days, the Commission warned. The EU and US agreed this year to address disagreements over digital rules through discussions, though talks have not yet begun.