Google faces a new $6 billion problem in the UK

For as long as pretty much anyone can remember, Google has been synonymous with going online and browsing the internet. It’s the biggest search engine in the world and has held that position for a very long time—dominating about 90% of the global market. But as the saying goes, you either die a hero or live long enough to become the villain. For Google, that hero-to-villain arc is unfolding as its dominance in search is now being questioned on both sides of the Atlantic.

First, it was the U.S. Department of Justice, accusing the company of being a monopoly. The DOJ's antitrust lawsuit—still ongoing—argues that Google used billion-dollar deals to make itself the default search engine on phones and browsers, essentially locking out rivals and maintaining its grip on the market. Now, the UK is stepping up with a very similar claim. A new class action lawsuit, filed at the UK’s Competition Appeal Tribunal, is going after Google for up to £5 billion ($6.6 billion) in damages. The claim, brought by competition law expert Or Brook on behalf of hundreds of thousands of UK advertisers, argues that Google abused its market dominance by shutting out rival search engines and overcharging advertisers. The case revolves around Google’s contracts with phone makers to pre-install Google Search and Chrome on Android devices and its payments to Apple to remain the default on iPhones. It also accuses Google of designing its ad tools to work better with its own products than with those of competitors, effectively boxing out alternatives. While the DOJ case threatens to break up Google’s advertising empire, the UK case could cost the company billions. Still, Google isn’t backing down. It’s called the case “speculative and opportunistic” and says it will fight the claims vigorously. According to a spokesperson, “Consumers and advertisers use Google because it is helpful, not because there are no alternatives.” But is that really the case? In the UK, Google controls 93.12% of the search market, while its closest competitor, Bing, holds just 4.23%. From a business perspective, it’s a no-brainer which platform advertisers feel compelled to use. With lawsuits stacking up and regulators circling, Google’s grip on the search world isn’t breaking just yet, but it’s facing more pressure than ever before.