Expedia threatens ‘revolt’ over ads on Google search

The company expressed its strong disapproval of Google‘s recent decision to increase the number of ads on its search results page

Barry Diller, the influential chair of IAC Inc. and Expedia Group Inc., raised concerns about the negative impact this would have on companies like Expedia and IAC, which heavily rely on fair online visibility.

In an email to Google’s high-ranking officials, Diller emphasized his frustration, stating, “I must admit that I am on the brink of rebellion as Google’s actions are unduly punitive, not only towards Expedia but also towards IAC and all other entities that depend on a level playing field.”

Adding to the ongoing debate, a former executive from Expedia testified earlier this month that the company’s advertising expenditure on Google had skyrocketed by ten times over the course of five years. Surprisingly, despite the substantial increase in costs, there was no significant surge in traffic following Google’s introduction of its own flight and hotel information.

The resistance displayed by Expedia and IAC’s chair is particularly noteworthy considering that these companies allocate nearly “6.5 billion dollars a year in media spending, with the majority directed towards Google.” This highlights the magnitude of their reliance on Google’s platform and the potential consequences of any changes to the search engine giant’s advertising policies.

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