Google faces suits over digital ad practices, may pay €25bn in damages
Category: #technology  By Pranali Mehta  Date: 2022-09-15
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Google faces suits over digital ad practices, may pay €25bn in damages

Google, the prominent American tech giant, has been reportedly charged with two legal proceedings that could result in the tech firm paying over €25 billion ($24.9 billion) in damages for its digital ad practices.

The corporation is sued for engaging in anti-competitive behavior and exploiting its dominating position in the ad tech market.

In the following weeks, separate legal actions will be filed by publishers demanding compensation from Google in the Netherlands and the UK.

Recently, Google has been under scrutiny from anti-trust authorities in response to complaints.

The European Commission and its British counterpart are currently investigating if Google has an unfair advantage over competitors and customers due to its dominance in the ad tech industry.

Last year, the organization was fined €220 million ($219.6 million) by the French competition watchdog.

According to credible sources, all website owners that display banner ads will be entitled to compensation under the British claim, which will be heard by the UK Competition Appeal Tribunal.

If successful, a large number of organizations, from major media outlets to small and medium-sized companies that create their own internet content, could receive compensation.

Businesses also have the option to opt-out of the lawsuit if they want.

Reportedly, Humphries Kerstetter, a UK law firm, intends to present its case to the Tribunal beginning in the next month, even though it may take years to conclude.

Toby Starr of Humphries Kerstetter stated that it was vital to file the lawsuit because there was a significant chance that as a result, the internet giant may change its unethical practices.

Starr stated that the lawsuit was on behalf of victims of Google's anti-competitive actions in the ad tech industry who have cumulatively lost approximately £7 billion ($8 billion).

While the UK's regulator is also looking at Google's influence in the market for digital ad technologies, the Dutch case is accessible to European publishers who have been impacted by Google's conduct. Together with Dutch legal firm Stek, Geradin Partners is bringing the class action.

Source credit: https://www.bbc.com/news/technology-62891769

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Pranali Mehta

Pranali Mehta    

Pranali Mehta boasts of over three years of experience as a content writer. Having completed her graduation in chemical engineering, she worked as safety & environment associate in a chemical company for a year. Harnessing her passion for writing however, Pranali deci...

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