Google Fails to Resolve Disputes with EU Critics, Risks Antitrust Fine

Google failed to resolve disagreements with hotels, airlines, and specialized search services over search result presentation, putting it at risk of a hefty EU antitrust fine. The company proposed two options for addressing EU charges of unfairly favoring its own services, but critics such as Skyscanner and Booking.com expressed concerns. A decision on Google's compliance is expected in the coming months.

In a significant development in the ongoing battle between Google and the European Union over search result presentation, the tech giant failed to resolve disagreements with hotels, airlines, and specialized search services. This has placed Google at risk of a substantial EU antitrust fine. The landmark Digital Markets Act (DMA) aims to rein in the power of Big Tech, with violations subject to fines up to 10% of a company's global annual revenue.

During a July 7-8 workshop, Google presented two options to address EU charges of unfairly favoring its own services like Google Shopping, Google Hotels, and Google Flights over competitors. In both proposals, vertical search services (VSS) such as Skyscanner, Kelkoo, and Booking.com would be given a prominent box at the top of the search page, while hotels, restaurants, and airlines would be ranked below them.

Google's lawyer, Oliver Bethell, acknowledged the competing interests in a LinkedIn blog post, stating, "While we have invited feedback throughout this process, we now need to bring this debate to an end without the interests of a few being prioritised over the millions of people and businesses in Europe who benefit from Search."

However, critics like Skyscanner and Booking.com expressed concerns about Google's proposals. Skyscanner's CEO, Bryan Batista, told Reuters, "The latest options on the table introduce significant changes, some of which risk misleading consumers and cementing Google's position at the top of organic results." Thomas Hoppner, a lawyer at Geradin Partners advising some of Google's complainants, was equally critical, stating, "Google is shifting the focus to alleged tensions between direct suppliers and intermediaries, diverting attention from the root issue: its own non-compliance, which created these tensions in the first place."

A decision on Google's compliance with the DMA is expected in the coming months. The company's failure to resolve these issues could result in a substantial fine, impacting its financial health and market position.

References:
[1] https://m.economictimes.com/tech/technology/google-says-discord-over-search-results-is-unresolved-risks-eu-antitrust-fine/articleshow/122347857.cms
[2] https://economictimes.indiatimes.com/tech/technology/google-says-discord-over-search-results-is-unresolved-risks-eu-antitrust-fine/articleshow/122347857.cms