Alphabet (GOOGL) may be facing yet another sizeable fine from EU authorities that could negatively affect its stock entering 2026. At press time, GOOGL is down 25% today, but has boomed 64% throughout this year. It has led the way for top tech on the US markets, but may be one of the few stocks to enter next year on a red note if the EU fine is delivered.

Indeed, Alphabet’s Google is expected to be fined by EU antitrust regulators next year for not doing enough to comply with EU rules against favouring its own services and products in search results, people familiar with the matter said. A penalty against Google will likely rile the United States, which has criticised a slew of landmark EU laws as taking aim at U.S. tech companies despite EU denials to the contrary.

The world’s most popular internet search engine was charged by the European Commission in March with favouring its own services, including Google Shopping, Google Hotels, and Google Flights, over competitors in the territory. While Google has offered a series of tweaks to its search results up until October, it has failed to comply with the Digital Markets Act in the EU. Thus, the fine is expected to be officially announced by UK regulators in the coming weeks.

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A lot of eyes have been on Alphabet (GOOGL) recently, thanks to its in-house tensor processing units (TPU). Several experts predict that Alphabet’s TPUs could become a major revenue driver that sends GOOGL stock higher. These application-specific chips have long been the backbone of Google Cloud, and investors are warming to the idea that selling them externally could be a lucrative extension of that strategy. Analysts point to recent momentum triggers, including Alphabet’s commitment to supply tens of billions of dollars of TPUs to Anthropic and reports that Meta may be in talks to spend billions.

Google faces increased competition as OpenAI launches its new GPT-5.2 model, impacting investor sentiment. Meanwhile, Oracle’s significant investments in AI raise concerns about its financial stability, indirectly affecting the tech landscape Google operates. That all combined with another looming fine out of the EU could put Alphabet (GOOGL) stock on a bearish path in 2026, the complete opposite of its entry into 2025.