Selloff or Market Correction? Either Way, Here's What to Do NextSee Overvalued Stocks

PriceRunner sues Google for 2.1 billion euros, prepares for long fight

Published 02/07/2022, 02:33 AM
Updated 02/07/2022, 09:06 AM
© Reuters. FILE PHOTO: Klarna logo is seen on smartphone in front of displayed Pricerunner logo in this illustration taken on November 2, 2021. REUTERS/Dado Ruvic/Illustration
GOOGL
-
GOOG
-

By Supantha Mukherjee

STOCKHOLM (Reuters) -Swedish price comparison firm PriceRunner said on Monday it was suing Alphabet-owned Google (NASDAQ:GOOGL) for about 2.1 billion euros ($2.4 billion), the latest firm to take legal action alleging the search giant manipulated search results.

Google in November lost an appeal against a 2.42 billion-euro fine it received in 2017 which found using its own price comparison shopping service gave the company an unfair advantage over smaller European rivals.

"They are still abusing the market to a very high extent and haven't changed basically anything," PriceRunner Chief Executive Mikael Lindahl told Reuters in an interview.

PriceRunner, which is in the process of being bought by Swedish fintech Klarna, said a lawsuit it filed in Sweden aimed to make Google pay compensation for the profit it had lost in Britain since 2008, as well as in Sweden and Denmark since 2013.

A Google spokesperson said the company would defend the lawsuit in court.

"The changes we made to shopping ads back in 2017 are working successfully ... PriceRunner chose not to use shopping ads on Google, so may not have seen the same successes that others have," the Google spokesperson said.

Lindahl said PriceRunner was prepared to fight for many years, had secured tens of millions of euros in external financing and had steps in place in the event it did not win.

The European Commission's 2017 fine was the result of a seven-year investigation triggered by scores of complaints that Google distorted internet search results to favour its shopping service, harming rivals and consumers.

The Commission found https://ec.europa.eu/commission/presscorner/detail/en/IP_17_1784 Google systematically gave prominent placement to its own comparison shopping service and demoted rival comparison shopping services in its search results.

"European consumers have been denied real choice in shopping services for many years and this is one step to ensuring this ends now," a Klarna spokesperson said.

Klarna in November agreed to buy PriceRunner from investment firm Creades for 1.06 billion Swedish crowns ($124.36 million).

The deal is expected to close in the first quarter.

© Reuters. FILE PHOTO: The logo for Google LLC is seen at the Google Store Chelsea in Manhattan, New York City, U.S., November 17, 2021. REUTERS/Andrew Kelly

Axel Springer's price comparison shopping service Idealo https://www.idealo.de/unternehmen/pressemitteilungen/idealo-suing-google-for-damages-caused-by-its-abuse-of-market-dominance then sued Google in 2019 for 500 million euros.

($1 = 0.8749 euros)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.