Key Moments:
- The European Court clarified the standards for judging Google Ireland’s liability in a €2.2 million penalty case over gambling ads on YouTube.
- The proceedings now return to the Italian Council of State for assessment following the European Court’s July 16, 2026 judgment.
- The outcome will depend on whether YouTube’s handling of content was technical and passive or involved active content management.
Background of the Dispute
The ongoing legal battle between Google Ireland and the Italian Communications Authority (AGCOM) revolves around a substantial €2.2 million fine related to gambling advertisements appearing on YouTube. This penalty stemmed from AGCOM’s determination that Google Ireland violated Article 9 of the ‘Dignity’ Decree (Decree-Law 87/2018), which bans online gambling advertising in Italy.
On September 10, 2025, representatives of both Google and AGCOM presented their arguments to the Court of Justice of the European Union. The central question was whether Google Ireland was responsible for a series of videos published across several YouTube channels, allegedly promoting online gambling through gameplay demonstrations, mentions of bonuses, and direct links to gambling platforms. AGCOM based its enforcement on its Resolution 275/22/CONS, issued on July 19, 2022.
Analysis by the European Court
In Case C-421/24, the European Court did not issue a definitive ruling on Google’s liability or the €750,000 component of the penalty. Instead, the judges explained the principles the Italian court must apply to determine the platform’s actual involvement in content distribution and monetization.
Google contended that its function was limited to providing a hosting service and that it should not be held liable for user-generated uploads. The case journeyed through the Lazio Regional Administrative Court and the Italian Council of State, prompting multiple legal questions around the EU e-Commerce Directive to be raised to the European Court on June 11, 2024.
Criteria for Platform Liability
The European Court clarified that while gambling activities fall outside the e-Commerce Directive, this exclusion does not directly apply to platforms offering hosting services for third-party advertising content.
The court emphasized that a platform’s liability depends on whether its role is strictly technical, automatic, and passive, or if it actively manages hosted content. Commercial arrangements, such as sharing advertising revenue, do not automatically imply full liability for uploaded videos. However, when a platform conducts checks on channels, videos, or information—or plays a role in admitting creators to a partnership program—the situation may change, and liability could arise.
EU Advocate General Maciej Szpunar previously stressed the need to differentiate simple monetization from actions that give the platform knowledge of, or control over, unlawful content.
Next Steps in the Proceedings
The case will now be reviewed by the Italian Council of State, tasked with a detailed analysis of the YouTube partnership program, the vetting mechanisms applied by Google, and the level of insight Google gained regarding the contested content. The outcome will depend on whether YouTube’s involvement was merely technical and passive, in which case it could qualify for liability exemption, or if its commercial management of the material was sufficient to justify AGCOM’s claims.
| Entity | Event/Role | Date | Detail |
|---|---|---|---|
| Google Ireland | Accused Party | 19 July 2022 | Alleged breach of advertising regulations per AGCOM Resolution 275/22/CONS |
| AGCOM | Regulatory Authority | 19 July 2022 | Imposed €2.2 million penalty |
| European Court of Justice | Hearing | 10 September 2025 | Clarified legal criteria; did not determine liability |
| Italian Council of State | Final Review | Pending | To assess platform’s liability based on EU Court’s interpretation |
Looking Ahead
The legal process remains active as the Italian Council of State prepares to apply the European Court’s guidelines to this specific case. Its assessment will be pivotal in determining whether YouTube’s conduct regarding gambling advertising content aligns with Italian regulations.
- Author
Daniel Williams
