The European Commission has launched a fresh investigation into Google amid allegations of manipulation of advertising prices on its search engine. According to a report by Bloomberg, this inquiry was prompted by a letter sent to businesses that could have been adversely affected by these alleged practices. Both representatives from the European Commission and Google have declined to comment on these developments.

The letter indicates that the Commission suspects Google of artificially inflating prices in advertising auctions, which may violate competition rules. Such violations could incur hefty fines for the tech giant, potentially reaching up to 10% of Google’s annual revenue. The implications of this inquiry are significant, as they could affect how advertising practices are regulated in the EU and might set a precedent for future enforcement against other dominant players in the market.

Currently, the investigation is reported to be in its early stages. However, it is expected that Teresa Ribera, the European Commissioner for Competition, will provide official updates on the situation soon. This investigation underscores the ongoing scrutiny that technology companies face in Europe regarding their market practices, reflecting the EU’s commitment to maintaining fair competition and protecting advertiser interests.