European Commission opens investigation into Booking.com over fraud risks

The European Commission (EC), the executive body of the European Union, on Wednesday opened a formal investigation into the Amsterdam-based online booking platform Booking.com. The Commission wants to establish whether the company is doing enough to prevent fake listings and fraudulent phishing, meaning attempts to trick people into handing over personal data or money by posing as a trustworthy party.

It is the first investigation into Booking.com under the EU's Digital Services Act (DSA), a regulation setting out the duties of online platforms in dealing with illegal content and fraud.

The Commission's concerns

The EC believes Booking.com may have underestimated how fraud and unlicensed accommodation affect its users. It is also concerned that the company does not adequately protect user data from being misused for fraudulent purposes.

The Commission is additionally checking whether the platform broke rules on labelling advertising. The issue concerns listings whose providers paid to be shown with priority in search results but which may not have been clearly marked as advertisements.

Commissioner's comment

Henna Virkkunen, the EU commissioner for technological sovereignty, security and democracy, said Europeans should be able to book accommodation without worrying about being scammed.

The source does not say what penalties or next steps might follow the investigation.