The European Union (EU) is awaiting a ruling from the EU court on a 13-billion-euro tax case involving Apple and Ireland. This case, dating back to 2016, revolves around allegations that Ireland allowed Apple to avoid billions of euros in taxes. The EU’s executive arm has accused major companies of benefiting from sweetheart tax arrangements with various EU countries, sparking legal battles. Despite a previous victory in 2020, Apple faced a setback when the top legal adviser of the higher European Court of Justice recommended overturning the decision. The final ruling will determine whether Apple will have to pay the 13 billion euros in taxes owed.
Google’s Fine
In addition to the Apple tax case, the EU court will also make a decision on a multi-billion-euro fine imposed on Google. The search engine giant was fined 2.4 billion euros in 2017 for abusing its dominant position by promoting its own Google Shopping service in search results. This fine is part of a series of penalties totaling around eight billion euros that Google has faced for violating EU competition rules. The upcoming ruling will confirm if the court upholds the fine, based on a previous recommendation by a top adviser. Google is also facing legal challenges in the United States, where authorities accuse the company of monopolizing online advertising and stifling competition. A recent ruling in the US highlighted concerns about Google’s ad tech and its impact on fair competition.
Challenges for Google
The legal troubles for Google extend beyond the EU, as the company is embroiled in antitrust investigations in various jurisdictions. In the UK, the competition watchdog found that Google engaged in “anti-competitive practices” related to online advertising following a two-year probe. The EU has also accused Google of abusing its dominance in the online ad market and recommended divesting part of its ad services to ensure a level playing field. With ongoing legal battles and regulatory scrutiny, Google faces a challenging road ahead in navigating competition laws and addressing concerns about its market dominance.
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