Google UK Class Action Lawsuit Over Search Dominance
Google is now facing a hefty £7 billion class action lawsuit in the UK, equivalent to about $8.8 billion, over accusations of harming consumers through the abuse of its search dominance. The UK’s Competition Appeal Tribunal (CAT) has given the green light for the case to proceed, adding to Google’s already mounting legal battles worldwide.
Initially filed in September 2023 by consumer rights advocate Nikki Stopford, the lawsuit claims that Google’s anticompetitive practices drove up advertising costs on the platform, ultimately leading to higher prices for millions of consumers in the UK. The allegations include claims that Google compelled Android phone manufacturers to pre-install Google Search and Google Chrome, a practice the European Union has previously targeted the tech giant for. Additionally, it is said that Google paid Apple significant sums to set Google as the default search engine on Safari, a matter that played a crucial role in a recent ruling against Google in the US.
Stopford emphasized, “Google continues to rig the search-engine market to charge advertisers more, which raises the prices they charge consumers. This UK legal action aims to foster healthier competition in digital markets and hold Google accountable.”
Despite Google’s attempt to dismiss the lawsuit back in September, the CAT has unanimously decided to move forward with the case. Responding to the ruling, Paul Colpitts, Google UK’s senior counsel, stated, “We still believe this case is speculative and opportunistic — we will argue against it vigorously. People use Google because it is helpful, not because there are no alternatives.”
In addition to this UK lawsuit, Google is currently embroiled in various legal battles, including one with the US Department of Justice that could potentially force Google to divest Chrome. Lawsuits from Epic Games and Yelp, as well as legal challenges from the DOJ regarding Google’s advertising technology, are also on the tech giant’s plate. Moreover, Google recently faced a setback in appealing a $2.7 billion antitrust fine in the EU.
It’s not an easy time for Google, as the company navigates through a series of legal challenges around the world. The outcome of these lawsuits could have significant implications on how Google operates and potentially alter the digital landscape.