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Russia Fines Google a Ridiculous Amount

Writer's picture: Yoonjoo ChoiYoonjoo Choi
Google now owes the Kremlin $20 decillion, or $20 billion trillion trillion
Google Headquarters. Image provided by CNN

You might have seen headlines about the richest people on the planet, including Elon Musk and Bill Gates, increasing their net worth by more than $10 billion. According to the BBC, Russia has fined Google $20 billion, which is a two followed by 36 zeros! This is far greater than the world’s total GDP, around $110 trillion.


Reason

According to The Guardian, the reason the Kremlin fined Google is symbolic and designed to make Google lift restrictions on Russian YouTube channels. Dmitry Peskov, a Kremlin spokesperson, said that their broadcasters should not be restricted. They have to pay attention and correct the situation.

Russian courts have repeatedly fined Google to force the company to comply. The legal costs multiply each day until Google complies with Russia’s rules.


Past occurrences

This has happened in the past, according to the BBC. After Russia invaded Ukraine in 2022, Google escalated to restrict the content of Russian media channels on YouTube. However, many Western companies pulled out of Europe, and Russian media outlets were banned in Europe. In 2022, Google’s Russian subsidiary went bankrupt, leading to the end of its commercial services, such as advertising. CNN stated that it also led to the government seizing control of its bank accounts. 

Since 2020, Russia has fined Google for both restricting and not restricting media on YouTube. For instance, in July 2022, Russia fined Google £301 million for failing to restrict “prohibited” material about the war in Ukraine, based on BBC.


Google’s take

In CNN, Google stated that they have received civil judgments with compounded penalties over account termination disputes, including those of sanctioned parties. They believe that the ongoing legal matters will not have a material adverse effect (on earnings).


Conclusion

BBC has said that there is no press freedom or freedom of expression in Russia, with both being severely curtailed. With this fine from the Kremlin and past fines, it is clear that there will be more fines from Russia to come.

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