Tribunal orders Google to allow betting ads
Publish date: 18 November 2024
Issue Number: 1103
Diary: IBA Legalbrief Africa
Category: Competition
South Africa's Competition Tribunal has instructed Google to allow Lottoland to advertise on Google Ads – for now. The bookmaker which is licensed by the Western Cape Gambling and Racing Board and owned by Gibraltar-based Betfred, offers fixed-odds bets on the outcome of various lotteries around the world. Instead of buying tickets for lotteries, users place bets on the results of those lotteries. Fin24 reports that it filed a complaint with the commission last year after Google refused to allow it to advertise on Google Ads, a platform that allows businesses to bid for ad space that appears on its search results pages. It contended that Lottoland’s offering of fixed-odds bets on the outcome of SA’s national lottery contravenes local legislation, and that it exposes Google to criminal liability. However, Lottoland alleged that the search giant terminated its access to Google Ads without proper justification, while allowing access to its competitors – including Hollywood Bets, World Sports Betting, Betway and Netbet (which trades as Sportingbet).
Fin24 notes that Lottoland said its new customer registration and revenue dropped significantly following its ban from Google Ads. The tribunal agreed that Google’s ban resulted in significant commercial harm to Lottoland and affected its ability to compete with its rivals. It agreed to grant Lottoland interim relief. In its finding, it said Google did not present clear evidence that Lottoland was in breach of the Lotteries Act, and also that it allowed Lottoland’s competitors to advertise the same services that it claimed were illegal.