European news media companies sued Google for roughly $2.1 billion in damages Wednesday over allegations that the tech giant’s ad technology practices have harmed them.
The case, filed by more than 30 European news media companies, including the German-based company Axel Springer that owns Politico, is the latest challenge to the California-based company over its ad technology, including a case launched by the Department of Justice last year.
The companies suing include Axel Springer, the German-based company that owns Politico, Reuters reported.
“The media companies involved have incurred losses due to a less competitive market, which is a direct result of Google’s misconduct,” the law firms representing the companies, Geradin Partners and Stek, said in a statement.
“Without Google’s abuse of its dominant position, the media companies would have received significantly higher revenues from advertising and paid lower fees for ad tech services. Crucially, these funds could have been reinvested into strengthening the European media landscape,” they added.
To bolster their argument, the case cited the French competition authority’s 220 million Euro fine against Google in 2021 “for having abused its dominant position” in the ad tech market, and the European Commission’s statement of objections issued to Google in June over “abusive practices” in online advertising tech.
Google has previously pushed back on allegations targeting market abuse in the ad technology industry.
Google’s legal director Oliver Bethell slammed the latest lawsuit as “speculative and opportunistic,” and said the company will “oppose it vigorously and on the facts.”
“Google works constructively with publishers across Europe — our advertising tools, and those of our many adtech competitors, help millions of websites and apps fund their content, and enable businesses of all sizes to effectively reach new customers. These services adapt and evolve in partnership with those same publishers,” Bethell said in a statement.
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