Breaking News: Apple and Google Hit with Multi-Billion Euro Fines by EU Court
In a landmark ruling, the European Court of Justice has declared that Apple received 13 billion euros in illegal tax benefits from Ireland, while upholding a multi-billion-euro fine against Google. The court found that Apple's entities in Ireland, Apple Sales International and Apple Operations Europe, were given unfair tax advantages from 1991 to 2014, constituting state aid. This decision overturns a previous ruling by the EU's General Court and orders Dublin to recover back taxes from Apple.
On the other hand, Google has lost its antitrust court battle with the EU, as the Court of Justice upheld a 2.4 billion euro fine imposed in 2017. The tech giant was penalized for using its online price comparison shopping service to gain an unfair advantage over competitors. This adds to the 8.25 billion euros in fines Google has faced over the last decade for various antitrust violations.
The repercussions of these rulings are significant for both companies and investors. Apple's shares were lower in premarket trading following the court's decision, while Google is now facing increased scrutiny and fines from the EU. These legal battles highlight the challenges faced by tech giants operating in the European market and serve as a warning for companies engaging in anticompetitive practices.
In conclusion, these rulings emphasize the importance of fair competition and compliance with tax laws in the digital age. Investors should be aware of the risks associated with regulatory investigations and legal battles that can impact the financial performance and reputation of tech companies. Stay informed and stay ahead of the curve in the ever-evolving landscape of the global market.