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Google tells court ‘staggering’ $5 billion EU antitrust fine flawed By Reuters

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© Reuters. FILE PHOTO A 3D-printed Android mascot Bugdroid can be seen standing in front of the Google logo in this July 9th illustration. REUTERS/Dado Ruvic/Illustration//File Photo

By Foo Yun Chee

LUXEMBOURG (Reuters) – A 4.34 billion euro ($5 billion) European Union antitrust fine was based on flawed calculations, Alphabet (NASDAQ:)’s Google said on Thursday, urging Europe’s second-highest court to scrap or reduce what it said was not an appropriate penalty.

Google received the biggest penalty for violating EU antitrust laws when it used its Android mobile OS to stop rivals and consolidate its position in internet search.

The fourth day of a five-day hearing by the General Court, Genevra Forwood, Google’s attorney, stated that the 4.34 billion euro fine imposed was inappropriate. This is three years since the European Commission sanctioned it.

The problem isn’t the headline-grabbing fine. She said that the problem was not in Google’s headline-grabbing fine.

Forwood claimed that Google did not have anti-competitive intentions. She also said it could not have known its conduct was an abusive based on EU law, which has no precedent.

Forwood stated that it was illegal for the Commission not to impose any type of fine, and even to increase the dials in order to reach the highest ever fine.

In a separate case, Forwood also criticized the EU competition enforcer for adding 11% to Google’s penalty. This was in contrast with Intel (NASDAQ;) 5% in 2009.

“Even though the Court may consider a fine appropriate, it would be right to reduce the dials,” she stated.

Anthony Dawes, an attorney for the European Commission said that Google was “simply incapable of being unaware” of anti-competitive practices.

Dawes explained that infringements committed negligently or intentionally are equally serious. The fine was only 4.5%, while the EU’s 10% limit allowed for them to be.

Next year is expected to see a verdict. The case is T-604/18 Google vs European Commission

($1 = 1.1714 euros)

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