Google is facing a £25 billion legal claim in the UK as a new lawsuit accuses the tech giant of abusing its dominant position in the online search advertising market and driving up prices for UK advertisers over more than a decade.
The claim alleges that Google’s longstanding agreements with phone manufacturers and network operators – making Google search their default engine – have limited competition, resulting in “excessive and unfair prices” for search advertising.
It has been filed with the Competition Appeal Tribunal (CAT) and is led by Roger Kaye KC, a former deputy High Court judge.
The case seeks damages on behalf of an estimated 500,000 to 1.5 million UK advertisers who purchased search ads from Google between January 2011 and the present.
If successful, compensation could reach £25 billion, the Independent reported.
Kaye said the case aims to restore a “fair and competitive landscape” and challenge the firm’s monopolising behaviour.
Legal firm KP law, acting for Kaye, said the lawsuit builds on legal findings from both the European Commission and a US court, which have already found Google to have abused its dominance in the market.
This latest UK claim adds to the mounting regulatory and legal scrutiny Google has faced globally.
The tech titan has recently agreed to pay $1.38 billion (£1.05 billion) to settle two lawsuits in Texas, which accused it of illegally collecting biometric data and tracking users without proper consent.
That case marked one of the largest privacy settlements in US history.
Despite the hefty payout, Google denied wrongdoing, insisting the claims were based on “outdated product policies”.
Meanwhile, across the pond, a separate antitrust case continues after a federal judge ruled last year that Google remains a monopoly in the search market.
The company is now battling proposals that could require it to divest major parts of its business, including the Chrome browser and parts of its ad stack.
