Italy's competition watchdog said on Friday it had launched an investigation into Booking.com to determine whether the travel website abused its market dominance. Watchdog AGCM said the site's treatment of hotels that are part of Booking.com's preferred partner program "appears to have the potential to hinder effective competition in the market for online hotel intermediaries and booking services, at least on a national scale".
The bureau said in a statement that this strategy "hurts other online travel agencies, negatively impacts accommodation facilities, and ultimately negatively impacts consumers through higher prices and reduced selection."
It added that Booking.com's Italian offices were raided by Italian tax police Guardiadi Finanza.
A Booking.com spokesperson said: "We are working closely with the Italian Financial Supervisory Authority and the Italian Competition Authority, who visited our offices in Italy yesterday."
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