Google has been fined €2.95bn (£2.5bn) by the EU for allegedly abusing its power in the ad tech sector - the technology which determines which adverts should be placed online and where.
The European Commission said on Friday the tech giant had breached competition laws by favouring its own products for displaying online ads, to the detriment of rivals.
It comes amid increased scrutiny by regulators worldwide over the tech giant's empire in online search and advertising.
Google told the BBC the Commission's decision was wrong and it would appeal.
It imposes an unjustified fine and requires changes that will hurt thousands of European businesses by making it harder for them to make money, said Lee-Anne Mulholland, global head of regulatory affairs at Google.
There’s nothing anti-competitive in providing services for ad buyers and sellers, and there are more alternatives to our services than ever before.
In its decision on Friday, the Commission accused Google of self-preferencing its own technology above others, highlighting the intentional boost given to its advertising exchange, AdX, over competing exchanges.
This behavior has raised costs for competitors and publishers, potentially leading to higher consumer expenses.
Third Time Rules Broken
The Commission's fine is one of the largest it has handed down to tech companies accused of breaching its competition rules to date. In 2018 it fined Google €4.34bn (£3.9bn) for leveraging its Android operating system to maintain market dominance.
Teresa Ribera, executive vice president of the Commission, noted that the increased fine reflects Google's history of violations. She stated that Google must submit a plan to change its practices within 60 days or risk the imposition of stricter measures.
This could include a structural remedy such as divesting parts of its ad tech business.
Earlier this week, the Commission denied reports of a delayed announcement regarding Google's fine amid tensions over trade relations between the EU and the US.
President Donald Trump has criticized the EU's enforcement actions against US tech firms, highlighting ongoing concerns shared among some technology executives.
