A Swedish court has ordered Google to pay approximately $1.5 billion in damages to PriceRunner, the price comparison service owned by Klarna, after determining the tech giant illegally favored its own shopping service in search results. The award totals around 14.3 billion Swedish crowns, reaching approximately $1.97 billion with interest, making it the largest competition case award by a Swedish court. The Patent and Market Court in Stockholm found that PriceRunner suffered harm due to Google's unlawful favoritism of its comparison-shopping service over many years, with PriceRunner seeking compensation for lost profits in Britain since 2008 and in Sweden and Denmark since 2013. The ruling builds on a 2017 European Union decision that fined Google €2.42 billion for abusing its search dominance.
Swedish Court Rules Google Unlawfully Favored Own Shopping Service
The Patent and Market Court in Stockholm determined that PriceRunner suffered commercial harm because of Google's unlawful favoritism of its own comparison-shopping service. PriceRunner argued that Google's conduct demoted rival comparison sites in search rankings and caused sustained commercial damage across several markets.
PriceRunner sued Google in 2022, seeking damages for lost profits in Britain since 2008 and in Sweden and Denmark since 2013. Klarna acquired PriceRunner the same year, integrating the comparison-shopping technology into its broader payments and shopping platform. The court's award remains below the roughly 78 billion crowns PriceRunner had sought, including accrued interest.
Ruling Builds on 2017 EU Antitrust Fine Against Google
The Swedish ruling extends a competition case that has shaped Europe's approach to Big Tech oversight. In 2017, European regulators fined Google €2.42 billion after concluding that the company abused its dominance in online search by giving illegal advantage to its own comparison-shopping service.
Google lost an appeal against that decision in 2021, and the ruling was upheld by the European Union's highest court in 2024. Those findings have provided a legal foundation for damages claims from companies alleging harm from Google's shopping search practices.
When Google began giving its own comparison-shopping service more prominent placement in search results in 2008, traffic to rival price comparison sites fell sharply. The Swedish award is one of the largest damages outcomes, but other cases continue. A German court last year ordered Google to pay about €465 million to price comparison site Idealo and €107 million to another German platform, Producto. Other cases are under way in Britain, while Italy's Moltiply Group is seeking €2.97 billion in damages linked to its Trovaprezzi.it price comparison business.
Google Rejects Decision and Plans Legal Challenge
Google rejected the Swedish court's decision and indicated it may challenge the ruling. "We don't agree with the court's decision, we are reviewing and will consider our legal options," a company spokesperson said.
The company said it had made changes to shopping advertisements since 2017 and argued those changes were working successfully. Google said the revised system was generating growth and jobs for hundreds of comparison-shopping services operating more than 1,500 websites across Europe.
An appeal is widely expected. Klarna's counsel Pontus Scherp said an appeal could take more than a year and likely years. Any final amount recovered could be reduced by tax and by arrangements tied to former PriceRunner shareholders and the outside funder that financed the litigation.
Alphabet Shares Dip 0.4% in Premarket Trading
For Alphabet, the Swedish judgment extends a long-running European antitrust problem. Google's shopping case has become a landmark in Europe's effort to limit the market power of large technology platforms.
The immediate share-price reaction was limited for Alphabet, with shares down around 0.4% in U.S. premarket trading. That reflects the company's size and the expectation that the case will move through appeals before any payment is finalized.
For Klarna, the judgment is both symbolic and financial. The company's shares rose after the ruling, with investors treating the decision as a potential future cash benefit and a validation of PriceRunner's legal position. The ruling strengthens PriceRunner's claim that Google's search practices caused commercial harm and gives Klarna a major legal asset.
FAQ
What amount did the Swedish court order Google to pay PriceRunner?
The Swedish court ordered Google to pay approximately $1.5 billion in damages to PriceRunner, owned by Klarna. With interest, the total reaches about $1.97 billion, equal to around 14.3 billion Swedish crowns.
Why did the Swedish court rule against Google?
The Patent and Market Court in Stockholm found that PriceRunner suffered harm because of Google's unlawful favoritism of its own comparison-shopping service over many years. The ruling builds on a 2017 European Union decision that fined Google €2.42 billion for abusing its search dominance.
How did Alphabet's stock react to the Swedish court ruling?
Alphabet's shares were down around 0.4% in U.S. premarket trading following the ruling. The limited reaction reflects the company's size and investor expectation that the case will move through appeals before any payment is finalized.
