The European Commission has intensified enforcement against digital gatekeepers for self-preferencing, including a 460 million euro fine against Google for favoring its own services. These regulatory actions under the Digital Markets Act highlight the growing legal risks for platforms that leverage control over search, marketplaces, and app stores to disadvantage third-party competitors.
This enforcement action signals a shift from lengthy antitrust litigation to immediate regulatory intervention for gatekeepers controlling digital gateways. By targeting algorithmic ranking and ecosystem leveraging, the Commission is forcing platforms like Apple and Alphabet to decouple their infrastructure from their downstream services. For the streaming and app ecosystem, this means gatekeepers can no longer use operating system defaults or app store payment requirements to insulate their own products from third-party rivals. The move effectively lowers the cost of customer acquisition for independent services that previously faced suppressed visibility. Watch for the Commission's upcoming proceedings regarding Apple's App Store steering rules to see if similar multi-hundred-million euro fines become the standard deterrent.
The European Commission's enforcement against gatekeeper self-preferencing builds on a designation framework established in September 2023, when the Commission designated six gatekeepers under the Digital Markets Act, covering 22 core platform services across Alphabet, Amazon, Apple, ByteDance, Meta, and Microsoft. The designated services include Google Search, Google Shopping, Google Play, Amazon Marketplace, Apple App Store, and TikTok, all of which face obligations to prevent self-preferencing in ranking and algorithmic presentation. The 460 million euro Google fine represents the first major financial penalty specifically targeting ranking manipulation under these DMA obligations, moving enforcement from structural designation to monetary deterrence.
Amazon's gatekeeper designation provides a parallel enforcement track for marketplace self-preferencing. The Commission's formal decision designated Amazon as a gatekeeper for both its Marketplace and Amazon Advertising services, establishing that Amazon's product placement algorithms and Buy Box mechanics fall under DMA scrutiny. The decision document specifies that Amazon Marketplace constitutes an important gateway for business users to reach end users, meaning any algorithmic preference for Amazon's own retail operations over third-party sellers could trigger proceedings similar to those brought against Google's vertical search services. Reuters reported that the DMA's 22 designated services face comprehensive overhaul obligations, with the legislation functioning as a companion to the Digital Services Act in regulating platform conduct.
The broader gatekeeper framework now encompasses companies beyond the original six. Euronews reported that the designation criteria require annual EU turnover of at least 7.5 billion euros or market capitalization of 75 billion euros, plus 45 million monthly users and 10,000 yearly business users. These thresholds mean that Booking.com and Naver, both mentioned in connection with DMA proceedings, could face designation if they meet the quantitative criteria. For streaming and app distribution, the implications are direct: Apple's App Store ranking, Google Play's recommendation algorithms, and any platform-controlled discovery mechanisms must now demonstrate neutrality toward first-party content and services.
The European Commission fined Google 460 million euros for self-preferencing its own shopping, hotel, and transport services in search results. This enforcement of the Digital Markets Act signals a shift toward immediate regulatory intervention for gatekeepers, forcing platforms to decouple their infrastructure from downstream services to ensure fair competition.
Google was fined for violating the Digital Markets Act by systematically prioritizing its own shopping, hotel, and transport services over third-party competitors within its general search rankings.
The DMA is a regulatory framework that imposes ex-ante obligations on designated digital gatekeepers to prevent anti-competitive practices like self-preferencing in ranking and algorithmic presentation.
Designated gatekeepers include Alphabet, Amazon, Apple, ByteDance, Meta, and Microsoft, covering 22 core platform services such as Google Search, Amazon Marketplace, and the Apple App Store.
Amazon settled concerns by committing to non-discriminatory Buy Box criteria and restricting its retail unit's use of non-public seller data.
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