Alphabet Inc.‘s Google (NASDAQ:GOOG) (NASDAQ:GOOGL) has been penalized with a fine of about €403 million ($463 million) by the Data Protection Commission (DPC) of Ireland.
The DPC’s fine is a consequence of allegations that Google coerced users into agreeing to continuous mobile phone tracking. The probe by the DPC, which began six years ago, was triggered by complaints from multiple European consumer organizations and a 2018 study by the Norwegian consumer agency, Forbrukerrådet.
The study indicated that location data could disclose personal information such as religious beliefs, political affiliations, health conditions, and sexual orientation. The European Consumer Organization (BEUC) lodged its complaint based on this study, alleging that Google employed “various tricks” to make sure that users’ location history and web & app Activity were enabled.
The DPC’s fine follows an investigation into whether Google lawfully and transparently processed users’ location data through features including Location History, Web & App Activity and Location Accuracy. The regulator concluded that Google users may not have been aware that their location data was being used for targeted advertising or to gather insights into their health and interests.
Reacting to the DPC’s decision, Google told the publication that the case concerns outdated policies, noting that it has significantly changed its practices since 2019 and introduced tools to make location-data management easier.
Google Faces Rising EU Legal Pressure
The penalty comes as Google faces enhanced regulatory scrutiny in Europe.
In July, the European Commission fined Google a combined €890 million ($1 billion) for two Digital Markets Act violations: €460 million over self-preferencing its services in Google Search and €430 million over restrictions on businesses directing users to alternative purchase channels outside Google Play.
The European Commission also found that Google breached the DMA by giving its own shopping, hotel, transport and sports services greater prominence in Search than competing third-party services through enhanced placement, visuals and filters.
Legal experts say the ruling could encourage more lawsuits, with rivals seeking damages for both recent DMA violations and earlier antitrust conduct, paving the way for damages as much as $10 billion. Companies including Foundem, Kelkoo and Moltiply Group are already pursuing multibillion-dollar claims tied to Google’s search practices.
Back home, a federal judge ordered Google to change its online advertising practices and appoint an antitrust compliance monitor but rejected the DOJ’s push to break up its ad tech business. Google must open AdX bidding data to rivals, stop requiring publishers to use AdX alongside its ad server and maintain the changes for six years. Google plans to appeal the ruling on its Ad Manager business.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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