Yelp Files Antitrust Lawsuit Against Google, Accusing Illegal Monopoly Practices

Yelp has filed a lawsuit against Google, accusing the tech giant of unlawfully using its dominant position in search to control the local search and local search advertising markets. The lawsuit alleges that Google unfairly promotes its local search products over competitors, which Yelp argues are inferior. According to Yelp, this practice harms consumers and suppresses competition, leading to increased costs for rival companies.

The full complaint is here.

Yelp’s legal action follows a significant antitrust ruling against Google in the Department of Justice’s case. Google was found to be operating an illegal monopoly in search and text advertising. Yelp’s complaint, which seeks damages to be determined, invokes the 1914 Clayton Act, which allows for treble damages in antitrust cases.

This latest lawsuit adds to Google’s growing legal challenges as it faces increasing scrutiny over its business practices. The outcome of this case could have broader implications for the local search market and the way tech giants are regulated in the future.

 “Wilful anticompetitive conduct.” Yelp issued the following statement:

“Yelp antitrust lawsuit against Google addresses how Google abuses its illegal monopoly in general search to engage in anticompetitive conduct, including self-preferencing its inferior local product, to dominate the local search and local search advertising markets. For years, Google has leveraged its monopoly in general search to pad its bottom line at the expense of what’s best for consumers, innovation, and fair competition. By willfully engaging in exclusionary, anticompetitive conduct, Google has driven traffic and revenue away from competitors, made it harder for them to scale, and increased their costs, while degrading consumer choice, to grow its market power.

Judge Amit Mehta’s recent ruling in the government’s antitrust case against Google, finding Google illegally maintained its monopoly in general search, is a watershed moment in antitrust law, and provides a strong foundation for Yelp’s case against Google. In addition to injunctive relief, Yelp seeks a remedy that ensures Google can no longer self-preference in local search. The harms caused by Google’s self-preferencing are not unique to Yelp, and we look forward to telling our story in court.”