In a recent judgment, the High Court recognised that the rapid development of new products and services online presents challenges for competition law, making clear that we must have regard to the “particular characteristics” of this new online environment. The Court went on to rule in favour of Google in this abuse of dominance claim.
The claim related to the introduction of a Google Map at the top of Google’s search results page in response to certain search queries. Following his initial cautionary comments regarding new technologies, the specialist competition judge, Mr Justice Roth, went on to rule that, on the assumption that Google held a dominant position, it had not committed an abuse. He also held that Google's conduct was in any event objectively justified as it had advantages that benefitted consumers and was a proportionate way of making those advantages available to consumers.
This important judgment offers some comfort for those working in the area, showing that the courts will grapple with the complexities of online markets when making important rulings like this one. There has been extensive commentary on the implications of the judgment including over on the Chillin’ Competition blog (here and here), and courtesy of Monckton Chambers, here.
Another interesting point in this case, was the Court’s use of a ‘new technology’. At trial, ‘hot-tubbing’ was used for the first time in a competition claim. This involved both parties’ economic experts giving evidence at the same time (rather than consecutively) and being questioned directly by the judge, with only a small window of opportunity for the barristers to ask further questions. This proved useful in narrowing down the issues and facilitating genuine debate between the experts – it remains to be seen whether a precedent has been set for future trials.
Finally, and in the interests of full disclosure, we should mention that Bristows represented Google in this case and needless to say, we are delighted with the outcome!