The Fort Worth Press - EU scores 'big win' in court against Apple and Google

USD -
AED 3.672502
AFN 64.000041
ALL 81.500312
AMD 360.2992
ANG 1.789785
AOA 918.000231
ARS 1538.519772
AUD 1.422951
AWG 1.8025
AZN 1.701509
BAM 1.755348
BBD 2.014118
BDT 124.150744
BGN 1.747831
BHD 0.37735
BIF 3000
BMD 1
BND 1.281553
BOB 11.995315
BRL 5.393101
BSD 1.000013
BTN 95.207367
BWP 13.822349
BYN 2.947868
BYR 19600
BZD 2.01121
CAD 1.395805
CDF 2315.000024
CHF 0.82107
CLF 0.025084
CLP 990.470581
CNY 6.661098
CNH 6.650785
COP 3178.96
CRC 454.76167
CUC 1
CUP 24.000287
CVE 99.195038
CZK 21.7499
DJF 177.720076
DKK 6.678065
DOP 60.650082
DZD 135.675976
EGP 56.0038
ERN 15
ETB 161.150317
EUR 0.89355
FJD 2.24025
FKP 0.747647
GBP 0.744895
GEL 2.599286
GGP 0.747647
GHS 11.649983
GIP 0.747647
GMD 73.999906
GNF 8799.999654
GTQ 7.645879
GYD 209.614159
HKD 7.845325
HNL 26.999829
HRK 6.76901
HTG 131.054259
HUF 326.981499
IDR 18139.15
ILS 3.12505
IMP 0.747647
INR 94.97085
IQD 1514
IRR 1868415.000297
ISK 121.499098
JEP 0.747647
JMD 158.760361
JOD 0.708993
JPY 157.105501
KES 129.950238
KGS 87.448698
KHR 4073.000466
KMF 440.999836
KPW 899.999961
KRW 1334.219869
KWD 0.31098
KYD 0.833326
KZT 453.3167
LAK 22535.000558
LBP 89549.999892
LKR 332.450795
LRD 170.450274
LSL 16.630086
LTL 2.95274
LVL 0.60489
LYD 6.425006
MAD 9.833501
MDL 18.045072
MGA 4595.000132
MKD 55.021155
MMK 2099.909661
MNT 3597.883233
MOP 8.082337
MRU 40.239982
MUR 47.289969
MVR 15.450396
MWK 1736.000168
MXN 18.875204
MYR 4.056963
MZN 63.909948
NAD 16.630024
NGN 1346.380243
NIO 36.810259
NOK 9.217305
NPR 152.332146
NZD 1.772245
OMR 0.384501
PAB 1.000013
PEN 3.460017
PGK 4.49025
PHP 63.67504
PKR 276.600474
PLN 3.93192
PYG 5858.938516
QAR 3.645499
RON 4.772026
RSD 105.012003
RUB 80.649626
RWF 1475
SAR 3.7541
SBD 8.058206
SCR 13.742183
SDG 601.500517
SEK 9.809045
SGD 1.27776
SHP 0.748335
SLE 22.900107
SLL 20969.504398
SOS 571.501218
SRD 37.644503
STD 20697.981008
STN 22.3
SVC 8.749697
SYP 13001.999685
SZL 16.630353
THB 33.716499
TJS 9.190174
TMT 3.5
TND 3.020699
TOP 2.40776
TRY 49.947455
TTD 6.779691
TWD 32.599499
TZS 2648.258019
UAH 45.55389
UGX 4360.137679
UYU 40.22581
UZS 11994.999742
VES 887.479804
VND 25803.5
VUV 119.217464
WST 2.773901
XAF 586.130493
XAG 0.01996
XAU 0.000252138131
XCD 2.70255
XCG 1.802288
XDR 0.707052
XOF 586.130493
XPF 107.303848
YER 236.196986
ZAR 16.66562
ZMK 9001.197294
ZMW 20.200416
ZWL 321.999592
SSP 5745.199062
MXV 2.127338
  • RIO

    -0.3300

    97.04

    -0.34%

  • CMSC

    -0.0400

    20.67

    -0.19%

  • RELX

    0.0000

    33.41

    0%

  • RBGPF

    0.0000

    67.95

    0%

  • BCE

    -0.0700

    21.99

    -0.32%

  • BCC

    -0.0300

    75.66

    -0.04%

  • GSK

    0.8600

    51.08

    +1.68%

  • JRI

    -0.0300

    11.52

    -0.26%

  • NGG

    -0.1200

    76.68

    -0.16%

  • CMSD

    0.0900

    20.54

    +0.44%

  • BTI

    -0.0800

    55.75

    -0.14%

  • AZN

    2.0200

    168.1

    +1.2%

  • BP

    -1.4200

    43.16

    -3.29%

  • RYCEF

    0.4600

    19.7

    +2.34%

  • VOD

    0.0700

    17.02

    +0.41%

EU scores 'big win' in court against Apple and Google
EU scores 'big win' in court against Apple and Google / Photo: © AFP

EU scores 'big win' in court against Apple and Google

The EU's top court on Tuesday delivered two major victories in the bloc's battle to rein in tech giants by ruling against Apple and Google in separate legal sagas with billions of euros at stake.

Text size:

The decisions give a boost to the bloc's outgoing competition chief, Margrethe Vestager, who had suffered a series of setbacks in EU courts against her decisions.

Putting an end to a long-running legal battle, the European Court of Justice ruled that the iPhone maker must pay 13 billion euros ($14.3 billion) in back-taxes to Ireland.

"Ireland granted Apple unlawful aid which Ireland is required to recover," the court said in a statement.

Minutes later, the court also upheld a 2.4-billion-euro fine against Google, one of a string of high-profile EU competition cases targeting the tech giant.

The court dismissed an appeal by Google against the 2017 fine, slapped on the search engine for abusing its dominant position by favouring its own comparison shopping service.

Apple said later on Tuesday in a US securities filing that it would take up to a $10 billion earnings hit.

The figure will not make much of a dent in a company that saw global sales of $383 billion and net profit of $97 billion in the year to September 2023.

- 'Disappointed' -

Vestager hailed the rulings as a "big win for European citizens and for tax justice" and warned the EU would "continue to push" and "go after" abuses of dominance.

"I was ready to face the loss. It was the win that made me cry," an emotional Vestager told reporters in Brussels.

Apple and Google said they were "disappointed" by the decisions.

Ireland, which is home to Apple's EU headquarters and had challenged Brussels' position, said it would "respect" the court's findings.

One of the most bitter legal battles between the European Commission and big tech, the Apple case dates back to 2016 when the EU's executive arm claimed Ireland allowed the iPhone maker to avoid billions of euros in taxes.

By the commission's calculations, Dublin allowed Apple to pay a tax rate of one percent of its European profits in 2003 which then dropped to 0.005 percent by 2014.

- Sweetheart tax arrangements -

It was one of several investigations over the previous decade into sweetheart tax arrangements between major companies and several EU countries.

But Apple on Tuesday said there was no "special deal".

"We always pay all the taxes we owe wherever we operate," the company said in a statement.

The ruling is a blow for Apple as the iPhone maker had gained the upper hand in the Ireland case in 2020, when the EU's General Court annulled the order for it to pay the taxes owed.

Following an appeal by Brussels, the legal adviser of the higher European Court of Justice in November recommended scrapping the 2020 decision, saying it was peppered with legal errors.

The top court, which could have sent the case back to the lower court, decided to rule that Apple should pay the back-taxes.

The conclusion to the case spelled relief for Brussels, which has faced difficulties defending its tax enforcement moves in recent years, with previous cases lost against Amazon and Starbucks.

Vestager admitted she was "positively surprised" by the decision but warned "there is still an occurrence of massive profit shifting into low tax territories".

She will be replaced later this year when the new European Commission takes office, and advised her successor to "make this one of many necessary priorities".

- Google's vice tightening -

The EU fine against Google was one of several record penalties imposed for violating EU competition rules, totalling around eight billion euros between 2017 and 2019.

"We are disappointed," Google said. "We made changes back in 2017 to comply with the European Commission's decision."

Google faces yet another test next week when the top EU court will decide on the smallest of those fines, worth around 1.49 billion euros.

Legal headaches for Google are also mounting across the Atlantic.

A trial began on Monday in the United States where the government accuses Google of dominating online advertising and stifling competition.

It comes after a US judge ruled last month that Google maintained a monopoly with its search engine.

Google's so-called ad tech -- the system that decides which online adverts people see and how much they cost -- is an area of particular concern for regulators worldwide.

Brussels last year accused Google of abusing its dominance of the online ad market and recommended the US company sell part of its ad services to ensure fair competition.

M.T.Smith--TFWP