Google Could Face Antitrust Fine Worth $11B EU over Android Issue

The European Union takes antitrust violations seriously and Google is about to find out the extent to which the organization will punish offenders. The search engine company has been under investigation over accusations of abusing its position as a dominant force in the market as manifested in anti-competitive practices. As a result, it could be looking at a fine worth as much as $11 billion, which would set a new record.

According to a report by The Financial Times, the investigations into the antitrust issue involving Google's mobile OS, Android, is about to end. The results are expected to be announced in July and the amount that the company will need to pay will be revealed at that time.

A fine worth $11 billion would be the equivalent of 10 percent of the yearly turnover of Alphabet, Google’s parent company. However, the likelihood of the EU charging the company this much is predicted to be unlikely. On the other hand, if it is fined any amount over $2.7 billion, it would still set a new record.

On that note, if the case ended with only a fine, it wouldn’t be the worst case scenario for Google. What the company might really have to fear is ending up in a similar spot to Microsoft.

As The Verge reports, the creator of the Windows OS ran into a similar issue with the EU ten years ago. Accused of antitrust violations by essentially bundling its media player and Internet Explorer browser with its Windows OS, Microsoft was forced to make some changes that would encourage competition. This allowed companies like Google and Mozilla to insert their own browsers into the Windows ecosystem.

In the end, both Chrome and Firefox became more popular than Internet Explorer, and this has been the case ever since. If Google isn’t careful, it could face similar consequences if the EU decides to treat its case in the same way.