Alphabet’s (GOOGL) Google is facing a lawsuit from the Polish e-commerce platform Allegro, seeking $567.6 million in damages. The lawsuit alleges that Google’s anti-competitive practices, which favored its price comparison service in search results, harmed the business of Allegro’s subsidiary Ceneo.
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Ceneo claims to have suffered significant financial losses due to Google’s actions. The company is seeking PLN1.72 billion in damages for losses sustained and PLN615 million in interest.
This legal action follows the European Union’s 2017 antitrust fine of $2.7 billion imposed on Google for exploiting its dominant position in the online search market. The EU found that Google had unfairly favored its own price comparison service in search results, giving it an unfair advantage over competitors like Ceneo.
Google’s Legal Troubles Continue to Grow
This lawsuit adds to the growing legal and regulatory challenges facing Google. In the U.S., the company is facing a major lawsuit by the Department of Justice that seeks to force Google to divest its Chrome web browser. Importantly, Google has recently proposed alternative remedies to address the concerns raised by the DOJ.
These legal battles reflect the ongoing scrutiny of Google’s business practices and the challenges it faces in navigating the complex regulatory landscape in Europe.
Is GOOGL Stock a Buy, Sell, or Hold?
Turning to Wall Street, GOOGL has a Strong Buy consensus rating based on 27 Buys and six Holds assigned in the last three months. At $211.47, the average Alphabet price target implies a 7.83% upside potential. Shares of the company have gained 40.9% year-to-date.
