EU fines Google a record $5 billion over mobile practices

EU Commissioner Margrethe Vestager holds a press conference on a Competition Case involving Google Android at the European Commission building, in Brussels on Wednesday, July 18, 2018. he European Union's antitrust chief has fined Google a record $5 billion for abusing the market dominance of its Android mobile phone operating system. (AP Photo/Olivier Matthys) EU Commissioner Margrethe Vestager holds a press conference on a Competition Case involving Google Android at the European Commission building, in Brussels on Wednesday, July 18, 2018. he European Union's antitrust chief has fined Google a record $5 billion for abusing the market dominance of its Android mobile phone operating system. (AP Photo/Olivier Matthys)

By Associated Press July 18, 2018 5 min read

BRUSSELS (AP) – European regulators came down hard on another U.S. tech giant Wednesday, fining Google a record $5 billion for forcing cellphone makers that use the company’s Android operating system to install Google search and browser apps.

The European Union said Google’s practices restrict competition and reduce choices for consumers.

While Google can easily afford the fine, the ruling could undermine the company’s business model, which relies on giving away its operating system in return for opportunities to sell ads and other products.

Google immediately said it will appeal, arguing that its free operating system has led to lower-price phones and created competition with its chief rival, Apple.

Android has “created more choice for everyone, not less,” Google CEO Sundar Pichai tweeted .