Google Faces $6.6 Billion Lawsuit in UK Over Ad Market Dominance

Post by: Omar Nasser

Photo : Reuters

Google is being sued for $6.6 billion in the UK. The lawsuit says that Google has been using its power in the search market to charge businesses too much for ads. The businesses claim that the prices for ads on Google would be lower if there was real competition in the market.

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The lawsuit was filed with the UK’s Competition Appeal Tribunal. It argues that Google forced mobile phone companies to put its search app and Chrome browser on Android phones. By doing this, Google was able to charge very high prices for ads. This made search ads more expensive and hurt businesses that rely on advertising for money.

The lawsuit also says that Google paid Apple a lot of money to make Google the default search engine on Apple’s Safari browser. This deal helped Google stay ahead of its competitors in the search market.

The lawsuit is being led by Or Brook, a lawyer who works in competition law. Brook says that Google has made its search engine better for its own ads, making it harder for other companies to compete. She explains that businesses in the UK, no matter their size, have no choice but to use Google ads to get their products and services seen. Many people believe that Google is too powerful and acts like a monopoly, meaning it controls the market. A study from the UK’s Competition and Markets Authority found that 90% of all money earned from search ads in the UK goes to Google.

Google has responded by calling the lawsuit “speculative” and “opportunistic.” They said they will fight the case strongly. A spokesperson for Google said that people use Google because it helps them, not because there are no other options.

This lawsuit is just one of many legal problems for big tech companies. Google and other companies like Meta have faced several lawsuits and investigations over the years about how much power they have in the tech world. In 2018, the European Union fined Google $4.9 billion for making phone companies install its apps on Android phones, which stopped other companies from competing fairly. Google is still fighting that fine in court.

At the same time, Meta, the company that owns Facebook, is also in a legal battle. The Federal Trade Commission (FTC) in the US has filed a case against Meta, which could force the company to break up its platforms, including Instagram and WhatsApp.

This lawsuit against Google could change how companies in the tech world do business. It might help decide what rules there should be for digital ads, search engines, and social media.

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