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EU General Court Annuls Google’s €1.49 Billion AdSense Fine

The EU General Court annulled the Commission’s €1.49 billion AdSense decision, but the ruling was not a blanket finding that Google’s conduct was lawful.
From TheFinanceBase Team3 min to read
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The EU General Court on September 18, 2024, annulled the European Commission’s decision fining Google about €1.49 billion over AdSense for Search contracts with publishers. The ruling concerns search-advertising restrictions—not Android or Google Shopping—and the Commission appealed.

Which Google fine did the court annul?

The case was Google and Alphabet v Commission (T-334/19), concerning the Commission’s March 20, 2019 decision in case AT.40411, Google Search (AdSense). The General Court annulled that decision in its entirety, so the €1.49 billion penalty fell with it. The court’s September 18, 2024 press release summarizes the judgment; the case page provides the judgment and case information.

That was a major legal and financial win for Google, but not a ruling that all of its advertising practices were lawful. The General Court upheld most of the Commission’s assessments while finding that the Commission had not established the alleged infringement to the required legal standard.

What was AdSense for Search?

AdSense for Search (AFS) let third-party website publishers display advertisements related to visitors’ search queries, using Google’s advertising intermediation service. Publishers could receive a share of the advertising revenue. The Commission said Google used contract terms to limit rival search-advertising intermediaries’ access to those publishers’ websites.

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What restrictions did the Commission challenge?

The Commission treated the terms as a single and continuous abuse of Google’s dominant position in online search-advertising intermediation in the European Economic Area. It identified three broad types of restrictions:

  • Exclusivity: A publisher had to reserve search-advertising space for Google.
  • Preferred placement: Google ads had to appear more prominently than rival ads.
  • Authorisation: A publisher needed Google’s approval before changing how competing search ads were displayed.

The allegation was not simply that these clauses existed. The Commission’s case also depended on showing that the restrictions could exclude competitors in the relevant market over the period covered by its decision.

Why did the General Court annul the decision?

The court found shortcomings in the Commission’s assessment of the restrictions’ duration, the market affected, and their capacity to exclude competitors. In particular, the Commission had not taken all relevant circumstances into account when assessing how long the allegedly abusive clauses operated. The court concluded that the Commission’s analysis did not adequately establish the alleged abuse across the relevant period and market.

That distinction matters: proof of restrictive contract terms alone was not enough to sustain the infringement finding. The Commission also had to support its assessment of their exclusionary capability with an adequate analysis of the circumstances. The General Court’s judgment in T-334/19 annulled the Commission decision as a whole, rather than merely reducing the fine.

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Does the ruling mean Google was cleared?

Not in the broad sense. The decision and penalty were annulled because the Commission’s case, taken as a whole, did not meet the required legal standard. The court nevertheless upheld the majority of the Commission’s findings. It did not issue a general endorsement of Google’s contractual model or declare that comparable restrictions are always lawful.

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What happened after the judgment?

The Commission appealed to the Court of Justice, the EU’s highest court, on December 3, 2024. The appeal is case C-826/24 P; its status can be followed on the official CURIA case listing. The Court of Justice reviews appeals primarily on points of law, rather than rehearing the entire factual record. The General Court’s annulment is therefore the result in the ruling discussed here, subject to that appeal.

How does this differ from Google’s other EU antitrust cases?

Google has faced separate EU competition cases involving different products and conduct. The AdSense outcome should not be confused with the Shopping or Android rulings.

Case Conduct at issue Outcome
AdSense for Search Restrictions on rival search ads on publisher websites The General Court annulled the Commission decision and its approximately €1.49 billion fine in September 2024; the Commission appealed in C-826/24 P.
Google Shopping Favoring Google’s comparison-shopping service in search results The Court of Justice confirmed the approximately €2.42 billion fine in September 2024. See the CURIA press release.
Android Conditions involving pre-installation and distribution of Search, Chrome and Play The General Court reduced the original approximately €4.34 billion penalty to €4.125 billion, which the Court of Justice upheld in July 2026. See the CURIA press release.

The difference is substantive as well as procedural: AdSense concerned advertising contracts with publishers, Shopping concerned search-result treatment of a comparison-shopping service, and Android concerned mobile-device distribution conditions.

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