EU Antitrust Officials Consider Penalty but No Breakup for Google's Adtech Practices

EU antitrust authorities are contemplating significant fines for Google over alleged anti-competitive conduct in its adtech business. Although previously warned of a breakup, regulators are not pursuing this option due to complexity. The decision is expected soon, but a breakup could still occur if Google doesn't change its practices.

European Union antitrust officials are contemplating ordering Alphabet's Google to cease anti-competitive practices in its adtech operations, sources with direct knowledge reveal. Although regulators had previously warned of a breakup, they are no longer pursuing this drastic measure due to its complexity.

A final decision with substantial fines is expected in the coming months. Antitrust chief Margrethe Vestager had last year indicated the possibility of breaking up Google's lucrative adtech business as the ultimate penalty. However, regulators are now likely to opt for a less severe approach.

The European Commission's decision could still evolve, and a breakup remains a possibility if Google continues its current practices. The move follows a precedent set by a similar case involving Microsoft two decades ago. An EU decision is anticipated before Vestager's term ends in November, though it could occur sooner.

(With inputs from agencies.)