Google Fined By France Competition Authority Over Unfair Practices In Online Advertising Market

Google is facing a fine of 220 million euros ($268 million) from France’s antitrust watchdog “for abusing its dominant position” in the online advertising market and negatively affecting its competitors.

As a company with a dominant position in the online advertising market, Google is responsible for using practices that won’t compromise its rivals and failed to do so.

The France competition authority accused Google of using its ad management platform, Google Ad Manager, to give “preferential treatment” to its online ad marketplace, AdX.

The U.S.-based tech giant managed to reach a monetary settlement with the France competition authority and agreed to make some changes about their future advertising methods and algorithms.

Isabelle de Silva, the head of the authority, noted that the decision was unique since it took a deep dive into Google’s advertising practices.

“The decision sanctioning Google is particularly significant because it is the first decision in the world to examine the complex algorithmic bidding processes by which online display advertising operates,” de Silva said in the statement.

As a result, Google is expected to make changes that “will make it possible to re-establish a level playing field for all players, and the ability for publishers to make the most of their advertising space.”

Google’s practices are also facing backlash in the U.S., including an antitrust case from the federal government for operating an illegal monopoly search advertising.

Google isn’t the only tech giant facing scrutiny over abusing its dominant position in the digital advertising market. Facebook is also under investigation by EU regulators over concerns that its use of data gives the company an unfair advantage over rivals and smaller businesses.