Russian court slaps Google with Rs 384 crore million fine over video market dominance

Google, the subsidiary of Alphabet, has been ordered by a Russian court to pay a fine of 4 billion roubles (Rs 384 crore/$47 million) for failing to comply with an earlier penalty related to its alleged abuse of a dominant position in the video hosting market. The decision, announced by the country's anti-monopoly watchdog on Tuesday, is part of Moscow's increasing efforts to hold foreign tech companies accountable through substantial fines.

In February 2022, Google was initially fined 2 billion roubles by the Federal Antimonopoly Service (FAS). The FAS accused Google's YouTube platform of employing an arbitrary and biased approach to suspending and blocking user accounts and content, according to reports from the TASS news agency. However, Google chose to appeal this decision, and the company has not yet responded to the recent fine imposed by the court.

The FAS justified the increased penalty by stating that Google had failed to pay the previous fine, leading to the doubling of the amount owed. The watchdog concluded that Google must pay an additional 4 billion roubles to the Russian Federation's budget.

YouTube, which has globally blocked Russian state-funded media, has faced significant pressure from Russian state bodies and politicians. However, the Russian government has refrained from completely blocking the platform, as it has done with other social media giants such as Twitter and Meta's Facebook and Instagram.

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Following Russia's invasion of Ukraine in March 2022, Google ceased online advertising operations in the country. Nevertheless, the company has continued to provide certain free services to Russian users. The Russian subsidiary of Google officially filed for bankruptcy after authorities seized its bank account, rendering it unable to pay employees and vendors.

According to reports from TASS, Google is required to pay the fine within 60 days of the court's ruling.

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