Polish ecomm platform Allegro’s subsidiary Ceneo files lawsuit against Google for $567 million

The compensation sought by Ceneo consists of 1.72 billion zlotys for the losses it claims to have sustained, along with an additional 615 million zlotys in interest payments covering the period from 2013 through November 29, 2024.

By  Storyboard18Dec 24, 2024 1:23 PM
Polish ecomm platform Allegro’s subsidiary Ceneo files lawsuit against Google for $567 million
According to the lawsuit, these actions have resulted in unfair competition, damaging Ceneo’s business and undermining its ability to compete effectively in the market.

Ceneo, a subsidiary of the Polish e-commerce giant Allegro, has filed a lawsuit against Google’s parent company Alphabet, Google Ireland, and Google LLC, seeking 2.33 billion zlotys ($567.60 million) in damages, Reuters reported. The lawsuit was filed on Monday, and Allegro made the announcement in a statement.

Ceneo, an online price comparison service, claims it suffered significant losses due to Google’s practice of prioritizing its own price comparison tool in browser search results. According to the lawsuit, these actions have resulted in unfair competition, damaging Ceneo’s business and undermining its ability to compete effectively in the market.

In response to the lawsuit, a Google spokesperson expressed disagreement with the claims, stating that the company is considering its options. He stated that their Shopping remedy has been working successfully for several years, and they continue to invest in formats that support brands, retailers, and comparison shopping sites of all sizes across Poland and Europe.

The compensation sought by Ceneo consists of 1.72 billion zlotys for the losses it claims to have sustained, along with an additional 615 million zlotys in interest payments covering the period from 2013 through November 29, 2024. Ceneo has also indicated that it will seek statutory interest on the total amount from the filing date until the damages are paid.

This lawsuit is connected to the $2.7 billion antitrust fine imposed on Google by the European Union. The fine was levied after Google was found to have used its dominant position as the world's most popular search engine to unfairly favor its own price comparison service, putting smaller competitors at a disadvantage.

In addition to the legal battle in Europe, the U.S. Department of Justice has taken steps to curb Google’s dominance in the tech sector. It has called for Google to divest its Chrome browser, with a ban on re-entering the browser market for a period of five years. The outcome of Ceneo’s lawsuit could have significant implications for Google’s operations in Europe and may further intensify the regulatory scrutiny the company faces over its market practices.

First Published on Dec 24, 2024 1:23 PM

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