Briefly

Google Shopping Box EU DMA Self-Preferencing Trial London

Case LawUnited States·Courthouse News Service·Briefly Analysis

Summary

  • Google's shopping box is at the center of a London antitrust trial, with rival comparison sites accusing the tech giant of still giving its own services preferential treatment.
  • The European Commission recently determined that Google's post-2017 shopping redesign still gives its own services preferential treatment under the EU's Digital Markets Act (DMA).
  • The case has significant implications for the tech industry and consumers, with potential consequences including further regulatory scrutiny and substantial fines.

What Happened

Kelkoo and Ciao argued it can’t be ignored. “But, of course, we say it is their fault. They should stop self-preferencing,” said Daniel Jowell, representing Kelkoo and Ciao.

A London antitrust trial has shed light on Google's shopping box, with rival comparison sites Kelkoo and Ciao accusing the tech giant of still giving its own services preferential treatment. The case revolves around a 2017 redesign that allowed rival comparison sites to bid for space alongside Google Shopping, but critics argue this change merely put a price on access rather than relinquishing control. In a twist, the European Commission recently determined that Google's post-2017 shopping redesign still gives its own services preferential treatment under the EU's Digital Markets Act (DMA). This new development has significant implications for the trial and could lead to further regulatory scrutiny and potentially even more substantial fines. The tribunal will reconvene on September 11 to hear arguments on how this decision affects Google's challenged conduct and the lawful counterfactual for calculating damages.

Legal Context

The case is a continuation of a long-standing issue between Google and rival comparison sites. In 2017, the European Commission fined Google €2.42 billion after finding it had illegally steered shoppers toward Google Shopping while demoting rival comparison sites in search results. Rather than scrapping the shopping box, Google redesigned it to allow rival comparison sites to bid for space alongside Google Shopping. However, critics argue that this change did not address the underlying issue of self-preferencing and merely put a price on access. The EU's Digital Markets Act (DMA) aims to rein in the market power of big online platforms like Google, and the recent decision by the European Commission highlights the ongoing struggle between tech giants and regulators.

Why It Matters

The outcome of this trial has significant implications for the tech industry and consumers. If Google is found to have continued its preferential treatment of its own services, it could lead to further regulatory scrutiny and potentially even more substantial fines. This case also highlights the ongoing struggle between tech giants and regulators as they navigate the complex landscape of antitrust laws and regulations. As the tribunal reconvenes on September 11, lawyers and compliance officers should pay close attention to the developments in this case, as it may have far-reaching implications for the industry.

Practical Implications

Lawyers and compliance officers should watch for the potential implications of the European Commission's ruling that Google's post-2017 shopping redesign still gives its own services preferential treatment under the EU's Digital Markets Act, which could lead to further regulatory scrutiny and potentially even more significant fines.

Source

Source: Original reporting via Courthouse News

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