European regulators have fined Google $5 billion for violating antitrust laws over its Android.
The commission, led by Margrethe Vestager, accused the company of abusing its dominance in the smartphone operating system market by pushing manufacturers to pre-install Google search and Chrome on new phones.
This isn't the first time the company has been hit with a huge fine that exceeded a billion. Back in 2016, the company was fined $2.7 billion for manipulating search results by giving the top spot to its own shopping website.
European regulators have scrutinized the company's move to pay smartphone makers and mobile carriers large sums to install Google Search as the default search app. They also accuse the company of imposing strict guidelines on OEMs that restrict the development of Android based on the AOSP (Android Open Source Project).
Regulators are also seeking to scrutinize how the company conducts its business. According to CNBC, the company's shares fell 0.3% immediately after the news was released.
European officials have been investigating Android since 2015, after FairSearch filed a complaint against Google in 2013. Many tech giants supported the complaint, including Microsoft, which subsequently said that Google has a “monopoly” on the Android market.
EU lawmakers have asked Google to implement new guidelines within 90 days. Failure to comply with the ruling will force the company to pay a fine equal to 5% of the average daily profits of Alphabet, Google's parent company.
The new regulations are sure to force the company to revamp its strategy for providing personalized search results, as its entire model is based on Google search and the entire app ecosystem.
