Italy’s price comparison platform Moltiply filed a €2.97 billion damages claim against Alphabet’s Google search engine on Friday, alleging anti-competitive conduct and abuse of dominance that favored Google Shopping between 2010 and 2017.
Moltiply alleged that its subsidiary 7Pixel, which operates the comparison site Trovaprezzi, was harmed by Google’s self-preferencing practices, which abused its market dominance to suppress competition and hinder the growth of 7Pixel by favoring its shopping platforms over its rival comparison platforms. The estimated damages amount to approximately 2.97 billion euros, including the structural effects of the abuse.
The lawsuit is based on a landmark 2017 decision by the European Commission, which fined Google €2.42 billion for having abused its dominant position in online search markets by systematically favoring its own comparison shopping service over those of its competitors.
The European Court of Justice upheld the Commission’s decision last year. It confirmed that the abusive exploitation of a dominant position, particularly when exercised by companies with significant market power, distorts competition on the merits and harms both competitors and consumers. The court also upheld the General Court’s finding that Google’s conduct was discriminatory and did not fall within the boundary of fair competition noting that “the General Court correctly established that in light of the characteristics of the market and the specific circumstances of the case, Google’s conduct was discriminatory and did not fall within the scope of competition on the merits.”
In response to the claim brought by Moltiply, a Google spokesperson told Reuters, “We disagree strongly with these exorbitant private damages claims which disregard this successful and growing industry.”