Publishers File $2.27 Billion Lawsuit Against Google for Alleged Advertising Practices
In a bold move, 32 media groups from various European countries have come together to file a $2.27 billion lawsuit against tech giant Google. The publishers, which include well-known names such as Axel Springer and Schibsted, claim that Google’s digital advertising practices have resulted in significant financial losses for them.
The media groups’ lawyers, Geradin Partners and Stek, issued a statement explaining their position. They argue that Google’s misconduct has created a less competitive market, depriving the publishers of higher advertising revenues and forcing them to pay higher fees for ad tech services. They believe that if Google had not abused its dominant position, the media companies could have reinvested these funds into strengthening the European media landscape.
However, Google vehemently denies these allegations. In a statement to Search Engine Land, Oliver Bethell, Legal Director at Google, described the lawsuit as “speculative and opportunistic.” He emphasized that Google works constructively with publishers across Europe and that their advertising tools play a crucial role in helping websites and apps fund their content while enabling businesses of all sizes to reach new customers. Bethell asserts that the lawsuit is baseless and that Google will vigorously oppose it.
This lawsuit comes on the heels of the French competition authority imposing a $238 million fine on Google for its ad tech business earlier this year. Additionally, the European Commission brought charges against Google last year, both of which are referenced in the media groups’ claim. It appears that the publishers are leveraging these previous actions against Google to strengthen their case.
Interestingly, the publishers chose to file the lawsuit in a Dutch court. The Netherlands is well-known for handling antitrust damages claims in Europe, making it an ideal jurisdiction to avoid dealing with multiple claims across different countries. By centralizing their legal battle in one court, the media groups hope to streamline the process and increase their chances of success.
Google’s legal battles are not limited to Europe. The tech giant is also facing a lawsuit by the U.S. Justice Department, which accuses the company of antitrust violations. It seems that Google’s advertising practices have come under intense scrutiny on both sides of the Atlantic.
While the outcome of this lawsuit remains uncertain, one thing is clear – the publishers are determined to hold Google accountable for what they perceive as unfair advertising practices. As the case unfolds, the media industry will be watching closely to see if this legal action leads to significant changes in the digital advertising landscape.
About the author:
Nicola Agius is the Paid Media Editor of Search Engine Land. With over 15 years of experience in journalism, she has covered various aspects of the media industry. Prior to her current role, Agius served as SEO Director at Jungle Creations and has worked for esteemed publications such as OK! Magazine, Mail Online, Mirror, Digital Spy, and The Sun. She also co-authored the Amazon bestselling book “Mastering In-House SEO” with SEO agency Blue Array.
