IAC Inc and Expedia Group Inc chair Barry Diller expressed his dissatisfaction with Google’s increased number of ads on its search results page. In an email sent to Google’s chief business officer Philipp Schindler on December 12, 2019, Diller revealed that he was “on the edge of revolt” due to the search engine’s actions that were punitive not only for Expedia but also for IAC and other businesses that rely on a fair competition environment. Diller highlighted that his companies collectively spend $6.5 billion a year in media, with the majority of it going to Google.
Schindler forwarded Diller’s email to Google’s CEO Sundar Pichai, who addressed the matter during his testimony at the Justice Department’s antitrust trial against Google. Pichai explained that Diller was specifically dissatisfied with Google’s introduction of additional travel listings, which he deemed as “one of the most popular experiences we’ve built.”
IAC is a holding company that owns various brands, including Ask.com, Angi Inc, and Dotdash Meredith Inc. Meanwhile, a former executive from Expedia testified earlier this month that the company’s advertising costs on Google had increased tenfold over a five-year period. However, these increased expenses did not result in a corresponding increase in website traffic after Google began displaying its own flight and hotel information.
It is worth noting that IAC spun-off Expedia in 2005, but Diller has remained in the company as its chairman and senior executive. The current situation reflects a growing concern among businesses regarding Google’s dominance in the online advertising industry and the potential impact on fair competition.
