Tiny search engine alleges Google abuses its power

Description

A would-be challenger to Google Inc. said Tuesday it is suing the Internet search leader for alleged abuses that include illegally rigging its prices to thwart potential competitive threats.

In a 38-page page complaint, TradeComet.com LLC accused Google of manipulating its system for setting ad rates to make it too expensive for a specialty search engine called SourceTool to promote itself within Google's vast online marketing network.

In a press release, TradeComet said it filed its antitrust lawsuit in a New York federal court.

New York-based TradeComet alleges Google stymied the growth of SourceTool in May 2006 when it raised the minimum bids on SourceTool ads that were triggered by specific search requests. Words that resulted in advertising costs of 5 cents and 10 cents per click soared to $5 and $10 per click, according to the suit.

The suit alleges the higher rates prevented SourceTool from promoting its search engine, which helps connect businesses looking to buy and sell products and services among themselves. TradeComet said its traffic plunged by 90 percent after Google imposed its new pricing terms.

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