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Google Faces Setback as EU Court Adviser Supports Antitrust Regulators

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Alphabet’s Google encountered a potential setback on Thursday after an adviser to Europe’s highest court sided with EU antitrust regulators over a landmark €4.34 billion ($4.98 billion) fine imposed seven years ago.

The European Commission ruled in 2018 that Google had abused its dominant position by using its Android mobile operating system to block competitors. While a lower court upheld the ruling in 2022, it slightly reduced the fine to €4.1 billion. Google subsequently appealed to the Court of Justice of the European Union (CJEU).

Juliane Kokott, Advocate-General at the Luxembourg-based CJEU, issued a non-binding opinion recommending the court reject Google’s appeal and confirm the reduced fine. Kokott stated, “The legal arguments put forward by Google are ineffective.”

She dismissed Google’s claim that regulators should assess the situation by comparing Google with a hypothetical, equally efficient competitor. Kokott explained, “Google held a dominant position in several markets of the Android ecosystem and thus benefited from network effects that enabled it to ensure that users used Google Search.”

Judges typically follow the Advocate-General’s opinion in about 80% of cases. A final ruling is expected in the coming months.

Google responded by emphasizing Android’s role in creating choice and supporting businesses globally, expressing disappointment with the opinion. A spokesperson said, “If followed by the Court, [the opinion] would discourage investment in open platforms and harm Android users, partners, and app developers.”

The regulators’ investigation found Google had imposed illegal practices dating back to 2011, including requiring manufacturers to pre-install Google Search and Chrome browser alongside Google Play on Android devices. Google also paid manufacturers to pre-install only Google Search and prevented the use of rival Android systems.

Google’s Android runs on approximately 73% of the world’s smartphones, according to Statcounter.

This fine is part of a broader enforcement effort against Google, which has amassed €8.25 billion in penalties across three antitrust cases over the past decade, with additional investigations ongoing.

Case Reference: C-738/22 P Google and Alphabet v Commission

Google Faces Potential Major Fine in Mexico Over Antitrust Allegations

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Mexico’s antitrust authority, the Federal Economic Competition Commission (Cofece), is expected to deliver a ruling by June 17 on whether Google engaged in monopolistic practices in the country’s digital advertising market. If found guilty, the tech giant could face a fine of up to 8% of its annual revenue in Mexico, which would represent one of the largest penalties Cofece has ever imposed.

Although Google’s parent company, Alphabet, does not disclose country-specific revenues, its “Other Americas” segment, which includes Latin America, generated $20.4 billion in revenue in 2024. This makes Google the most significant company yet targeted by Mexico’s competition regulator.

Cofece’s investigation into Google Mexico began in 2020 and moved into its trial phase in 2023, allowing Google the opportunity to present counter-evidence. The regulator alleges that Google effectively built a monopoly in Mexico’s digital advertising sector. As part of its investigation, Cofece also sought Google’s financial information from Mexico’s tax authority (SAT). An oral hearing with Google, considered one of the final steps in the process, was held on May 20.

Under Mexican law, the maximum fine for monopolistic conduct is capped at 8% of a company’s annual revenue. Should Cofece rule against Google, the company may seek an injunction to delay the penalty while a specialized court reviews the decision.

This case aligns with broader global regulatory scrutiny of Google’s business practices. In the United States, Google has faced multiple antitrust cases. Last year, a U.S. district judge ruled that Google holds an unlawful monopoly in online search and search advertising. In another case, the U.S. Justice Department accused Google of illegally dominating online advertising technology markets and has suggested the company divest parts of its Google Ad Manager business.

Domestically, Google has also faced political friction in Mexico. President Claudia Sheinbaum has filed a lawsuit against Google over its renaming of the Gulf of Mexico to “Gulf of America” for U.S. Google Maps users following a decision under former U.S. President Donald Trump. Mexican lawmakers from the ruling Morena party have been urging Cofece to resolve the antitrust case against Google since last year.

Cofece and Google have declined to comment on the ongoing investigation.

UK Watchdog Fines OnlyFans $1.4 Million Over Age-Check Disclosure Failures

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Britain’s media and telecommunications regulator, Ofcom, has fined OnlyFans £1.05 million ($1.4 million) for failing to accurately disclose information related to its age verification measures. The fine follows an investigation into the platform’s methods of checking user age, specifically its use of third-party facial estimation technology.

Investigation Findings

OnlyFans’ operator, Fenix International Limited, was found to have misrepresented the effectiveness of its age verification technology. The platform claimed that its facial recognition system, which uses live selfies submitted by users, had a “challenger age” threshold of 23 years. However, the threshold was actually set at 20 years, a discrepancy that Fenix International reported to Ofcom last year.

In response to the error, Fenix announced plans to raise the threshold to 23 years in January 2025. However, the company later lowered it to 21 years within a few days. Despite this correction, the failure to provide accurate and complete information led to the fine.

Ofcom’s Role and Future Actions

Ofcom emphasized the importance of receiving accurate information to fulfill its regulatory responsibilities. Suzanne Cater, the enforcement director at Ofcom, stated, “We will hold platforms to high standards and will not hesitate to take enforcement action where we find failings.”

Although Ofcom closed its investigation into whether minors were accessing the platform, it continues to monitor the accuracy of the information provided by OnlyFans.

Platform’s Response

OnlyFans, which has over 300 million users and generates $1.3 billion in revenue, welcomed the conclusion of the investigation related to UK onboarding. A spokesperson for the platform acknowledged the importance of providing accurate and timely information to the regulator.