Saturday, January 24, 2026

Google Hit by EU Abuse of Dominance Probe Over AI Tools

(Bloomberg) — Google (GOOG) has been hit by a European Union investigation over fears it may have abused its dominance by using its own artificial intelligence tools to squeeze out competition.

The Brussels-based commission said Tuesday it will look at whether the Alphabet Inc. unit has distorted competition by imposing unfair terms on content creators and giving its own AI model an advantage over its rivals.

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The EU watchdog will also examine to what extent the generation of AI Overviews and AI Mode by Google is based on web publishers’ content and if they are paid appropriately for that.

Photographer: Ksenia Kuleshova/Bloomberg
Photographer: Ksenia Kuleshova/Bloomberg

“This case is once again a strong signal of our commitment to protecting the online press and other content creators, and to ensuring fair competition in emerging AI markets,” Teresa Ribera, the EU’s antitrust commissioner said in a Brussels speech on Tuesday.

The fresh probe follows September’s fine of almost €3 billion ($3.5 billion) against Google for allegedly favoring its own advertising technology services over rivals, which provoked the ire of US President Donald Trump, who slammed the fine as “discriminatory.”

Trump officials have particularly focused on a series of costly EU penalties against Big Tech firms, including more than €9.5 billion in fines against Alphabet Inc.’s Google and a separate order for Apple to pay Ireland back taxes of €13 billion.

Trump has threatened to impose fresh tariffs and export restrictions on advanced technology over the issue. And US officials say they won’t ease 50% tariffs on steel and aluminum products until the EU loosens its tech rules.

The tech giant has also faced billions of other fines from the EU in the shape of a €4.13 billion Android penalty and a €2.42 billion fine for crushing shopping search rivals. A €1.49 billion AdSense levy was annulled last year.

On top of this, Google continues to face broader scrutiny under the Digital Markets Act in Brussels. The law came into effect in 2023 and is designed to keep the world’s largest technology platforms in line.

Under traditional EU antitrust rules, competition regulators can order companies to temporarily stop suspect business practices, but these demands can be challenged in the bloc’s courts in Luxembourg.

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