| |

Yelp sues Google for promoting its own content

Yelp sues Google for promoting its own content

Yelp has filed a lawsuit against Google, accusing the tech giant of abusing its dominant position in the search engine market to stifle competition and harm consumers, the company said.

“Google’s Anticompetitive Conduct Harms Consumers, Competition, and Advertisers,” said Yelp CEO 

The antitrust lawsuit, filed in federal court, alleges that Google uses its general-search monopoly to unfairly promote its own local search and local search advertising products, hindering competitors like Yelp from reaching customers.

Yelp claims that Google’s self-preferencing practices give its own offerings an unfair advantage in search results, preventing consumers from seeing the best options available. This, according to the CEO of Yelp Jeremy Stoppelman, harms both consumers and businesses alike.

“Google’s Long History of Unlawful Conduct is Recognized Around the Globe,” said Yelp CEO 

The lawsuit comes on the heels of a recent ruling against Google in a separate antitrust case, finding the company guilty of illegal practices to maintain its search engine monopoly. This ruling has opened the door for more lawsuits against Google, including Yelp’s.

Google has responded to the lawsuit, denying Yelp’s allegations and stating that it will vigorously defend itself. The company has faced similar accusations in the past, and its response to this latest lawsuit will be closely watched.

JB Floyd, President, LeadValets, on 30 Aug 2024
“Yelp's recent antitrust lawsuit against Google highlights ongoing tensions between the two companies over search engine practices. Yelp accuses Google of leveraging its dominant position in general search to unfairly promote its own local search services, thereby stifling competition and harming both consumers and businesses. Yelp's Allegations Against Google Monopoly Abuse: Yelp argues that Google uses its monopoly in general search to favor its own local search results over competitors like Yelp. This self-preferencing allegedly reduces competition and degrades the quality of search results available to consumers. Impact on Traffic and Revenue: Yelp claims that Google's practices have led to stagnant or diminished traffic for Yelp and other rivals, which in turn affects their advertising revenue and raises operational costs. Consumer Harm: The lawsuit asserts that Google's actions limit consumer choice by presenting less relevant search results, which ultimately harms the user experience. Historical Context: This lawsuit follows a recent federal ruling that found Google guilty of maintaining an illegal monopoly in online search, which has emboldened Yelp to pursue legal action. Yelp's Legal History and Challenges Yelp has a long history of raising antitrust concerns against Google, including testifying before the Senate and filing complaints in the European Union. Despite these efforts, previous claims by Yelp have been dismissed by the Federal Trade Commission (FTC) and in other legal contexts. Google's response to the current lawsuit emphasizes that these allegations are not new and have been rejected in the past, suggesting that Yelp's claims lack merit But let's remember that Yelp has had their own legal issues with similar issues: Yelp has faced several lawsuits over the years, often related to its business practices and the content on its platform. Here are some notable examples: Class Action Lawsuits: Yelp has been the target of multiple class-action lawsuits alleging that it manipulates reviews to favor businesses that advertise with them. Plaintiffs have claimed that Yelp extorts businesses by threatening to remove positive reviews or post negative ones unless they pay for advertising. However, these cases have generally not succeeded in court, as Yelp has defended its practices as being protected under the Communications Decency Act, which shields platforms from liability for user-generated content. Defamation and Libel Cases: Businesses have occasionally sued Yelp for defamation, arguing that negative reviews on the platform are false and damaging. Yelp's defense typically hinges on the argument that it is not responsible for the content of user reviews and that it provides a neutral platform for consumer opinions. Small Business Complaints: Yelp has also faced legal challenges from small businesses claiming that Yelp's review filtering algorithm is unfair or that it damages their reputation. These cases often revolve around accusations that Yelp's system is biased or flawed, although Yelp maintains that its algorithms are designed to ensure the authenticity and reliability of reviews. These legal challenges highlight the complexities of operating a platform that relies heavily on user-generated content and the tensions between maintaining a fair review system and managing business relationships. Despite these lawsuits, Yelp has largely been successful in defending its business model and practices in court.”

Media Jobs