Italy’s Moltiply sues Google for €2.97 billion over alleged market abuse

In a major legal challenge that underscores ongoing concerns about Big Tech’s grip on online commerce, Italy’s Moltiply Group has filed a €2.97 billion ($3.34 billion) lawsuit against Alphabet’s Google. The lawsuit accuses the tech giant of abusing its dominant market position, with significant implications for Europe's digital economy and competition in the price comparison market.

Moltiply, the parent company of Trovaprezzi.it—one of Italy’s leading price comparison platforms—claims that Google systematically undermined its growth by prioritizing its own service, Google Shopping, in search results. The alleged misconduct took place between 2010 and 2017 and, according to Moltiply, directly harmed the development of its subsidiary 7Pixel.

The case has been filed in a Milan court, as reported by Corriere della Sera. While Google has yet to issue a public response in Italy, the allegations closely mirror findings from the European Commission. In 2017, the Commission fined Google €2.42 billion for promoting Google Shopping in a way that disadvantaged smaller European rivals. Google lost its final appeal against that ruling in September 2023.

Moltiply’s lawsuit is significant not only because of its size but also because it represents a broader pushback by European tech companies against what they view as anti-competitive behavior by Silicon Valley behemoths. If successful, the case could strengthen the hand of smaller digital firms seeking a level playing field—and open the door for further legal claims across the continent.

Summary:

Italy's Moltiply Group is suing Google for nearly €3 billion, alleging that the search giant unfairly promoted its own shopping service, stifling competition and hindering the growth of Moltiply's platform, Trovaprezzi.it. The case builds on a 2017 EU antitrust ruling and could have wider repercussions for tech competition law across Europe.

FAQs

Q: What is Moltiply's main claim against Google?

A: Moltiply alleges that Google abused its market dominance by favoring Google Shopping in search results, harming competitors like Moltiply’s 7Pixel between 2010 and 2017.

Q: Has Google been penalized for this behavior before?

A: Yes. In 2017, the European Commission fined Google €2.42 billion for promoting its own comparison service over rivals. Google lost its final appeal in 2023.

Q: Why is this lawsuit important for the business community?

A: It could set a precedent for future antitrust claims and increase regulatory scrutiny of Big Tech practices in Europe.

Q: What is Trovaprezzi.it?

A: It is a major Italian price comparison website owned by Moltiply, which helps consumers compare product prices online.

Q: What could happen if Moltiply wins the case?

A: A victory could lead to substantial damages for Moltiply and encourage similar lawsuits from other European tech firms, potentially reshaping the competitive landscape.