Google Just Got Caught? Ann Summers Accuses Tech Giant of Secret Blacklist That's Costing Millions

GuruFocus.com
03-03

Ann Summers just threw down the gauntlet against Google (NASDAQ:GOOG), accusing the tech giant of unfairly blacklisting its website under the guise of its SafeSearch feature. The lingerie and adult retailer claims its products are being wiped from search results when SafeSearch is onwhile Amazon (NASDAQ:AMZN) and Marks & Spencer, selling similar items, remain untouched. Ann Summers has now taken its case to the UK's Competition and Markets Authority (CMA), which is already investigating Google's dominance in search. The company says this isn't just about filtersit's about Google controlling visibility and distorting competition.

    The financial impact is already showing up in the numbers. Ann Summers reported an 11% drop in annual sales to 93 million, and it's pointing the finger at Google. The company says its website has lost over 3 million potential visitors, with searches for its own products directing users to competitors like Boots and Amazon instead. Meanwhile, its newly launched Knickerbox brand is an attempt to work around the restrictions, but the company is clear: Google's inconsistent policy enforcement is costing them serious business.

    This case could trigger a regulatory storm. If the CMA rules against Google, it could lead to stricter oversight and set a precedent for how dominant tech players handle online visibility. For investors, this isn't just about Ann Summersit's about whether regulators are ready to rein in Google's influence over search and digital advertising. If forced to tweak its algorithm or face penalties, Google's advertising revenue could take a hit, making this a development worth watching.

    This article first appeared on GuruFocus.

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