📈 Business & Markets

Yelp is suing Google for allegedly stifling competition

Wednesday, Sep 4

Image: Grok

Yelp is giving Google a one-star review. Last Wednesday, the platform where your aunt rags on restaurants sued Google in a San Francisco federal court, accusing the tech giant of illegally monopolizing search and search advertising.

Background: For years, Yelp has accused Google of using its web dominance to benefit its own reviews business and steer customers away from Yelp.

  • Part of Yelp’s argument is related to how Google presents search results. When consumers search for a local nail salon or Cava location, for example, the tech giant places its own results at the top, leaving Yelp and other platforms competing for the space below.
  • Yelp is also accusing Google of stealing info from the review platform’s website and passing it off as its own, decreasing Yelp's traffic and revenue.

The ask: Yelp is seeking unspecified monetary damages and a declaratory judgment that Google violated antitrust laws.

On the flip side: Google says Yelp’s claims are baseless, and denies any wrongdoing. The search-engine giant says the case resembles similar claims that were thrown out years ago by the FTC.

👀 Looking ahead
 The suit adds to Google's recent legal challenges, which could continue to increase. The tech giant is currently appealing two court rulings that declare its search business and mobile app store are illegal monopolies – rulings that open the door to more Yelp-like lawsuits against Google.

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