Google is presently wiping off bitter tears after being slammed with a recording-breaking fine of $2.74 billion by the European Union (EU).
TheNewsGuru reports Google was recently fined a whooping amount of $2.74 billion by the EU for abusing its dominance within the Commission’s domain.
Google’s parent company, Alphabet Inc. late Friday confirming the development said the European Commission’s antitrust fine will reduce second-quarter profit by about $2.74 billion.
“It’s not tax deductible, so the charge will reduce Alphabet’s net income and earnings per share by the full $2.74 billion amount,” Alphabet said in a statement.
According to a report by Bloomberg, the company plans to report the fine in a separate operating expense line on its income statement.
According to data compiled by Bloomberg, analysts expect Alphabet, the owner of Google, to report second-quarter net income of $5.78 billion.
Meanwhile, analysts have dismissed the EU fine as a threat to Google’s stock position.
However, several raised concerns about the potential impact of any forced changes to Google’s shopping service, a growing revenue source.
Googel has a 90-day ultimatum to find ways to give equal treatment to smaller price-comparison services that compete with the Google Shopping ads that appear when people search for products.