Key Takeaways
- EU tech regulators will investigate Booking.com for fraudulent listings and phishing scams.
- The investigation is part of the bloc’s Digital Services Act, which aims to tackle illegal content.
- Booking.com faces potential fines of up to 6% of its global annual turnover for violations.
The European Commission has initiated an investigation into online hotel reservation website Booking.com, targeting the company for its handling of fraudulent listings and phishing scams, according to a statement released on Wednesday.
The investigation, which is part of the bloc’s Digital Services Act, follows a preliminary probe and the analysis of risk assessment reports submitted by Booking.com over the past four years.
Regulators will examine whether Booking.com is adequately addressing fake listings, impersonation fraud, and non-compliant accommodation offers, ensuring that the platform complies with EU online content rules.
The Digital Services Act mandates that big online platforms like Booking.com take more responsibility for illegal and harmful content on their sites, or face significant financial penalties.
Specifically, the investigation will focus on phishing scams that exploit Booking.com’s reservation and guest data shared with accommodation providers, as well as paid-for boosted listings that are not clearly identifiable as advertisements.
“Europeans should be able to book their holidays without fear of being scammed,” said EU tech chief Henna Virkkunen in a statement, emphasizing the importance of compliance with the Digital Services Act.
Virkkunen added, “The Digital Services Act sets clear responsibilities on platforms to address these risks, and we must ensure that the leading booking platform in Europe takes those responsibilities seriously.”
Booking.com, which is part of Booking Holdings, faces potential fines of up to 6% of its global annual turnover for any violations of the Digital Services Act.
Europeans should be able to book their holidays without fear of being scammed.
Henna Virkkunen, EU tech chief
The Digital Services Act sets clear responsibilities on platforms to address these risks, and we must ensure that the leading booking platform in Europe takes those responsibilities seriously.
Henna Virkkunen, EU tech chief
