Glenn Fogel says EU rules have forced the group to allow hotel companies to offer lower prices on their own websites than on Booking.com
Jun 26, 2024
Booking Holdings has not ruled out the possibility of leaving the EU over what its chief executive describes as “stupid” regulatory burdens that he believes put the online travel group at a “competitive disadvantage”. Speaking at the Financial Times’ TNW tech conference in the Netherlands on Thursday, he said: “If regulations aren’t smart regulations, then you’re at a competitive disadvantage. I believe in giving customers the best prices. Any regulation that prohibits us [from doing that], I consider a dumb regulation.”
Key takeaways
- When asked if he would consider moving the $135 billion company’s headquarters out of the EU due to increased scrutiny of tech companies, Fogel replied, “I never say no to anything that’s possible.”
- The statement follows a series of regulatory challenges for the company in the EU, as the bloc seeks to curb the market dominance of major tech companies through new legislation and antitrust actions.
- The European Commission, the EU’s executive arm, declined to comment directly on his remarks, but said, “With the DMA, business users who rely on the gatekeepers’ platforms to reach their customers will now have unprecedented opportunities.” They added: “Gatekeepers can of course continue to compete, but they cannot impose restrictions on their business customers. So-called ‘best prices’ must not be at the expense of fair competition”.
- Last month, Booking became the first European-based company to be designated an “online gatekeeper” under the EU’s Digital Markets Act (DMA), which imposes additional obligations on the company, such as preventing it from promoting its own services over those of its competitors.
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