A Swedish court ordered Alphabet's Google to pay Klarna $1.97 billion in damages after the buy-now-pay-later company won an antitrust case. The ruling found that Google gave preferential treatment to its own price-comparison service over competitors in search results, violating competition laws.

Price Runner, Klarna's price-comparison unit, filed the lawsuit in 2022 alleging anticompetitive practices. The Patent and Market Court in Stockholm ruled in favor of Price Runner on part of the claim while dismissing other aspects. This represents one of the largest antitrust damages awards against a major tech platform in recent years.

The decision signals growing regulatory pressure on Big Tech companies across European markets. Google disagrees with the ruling and said it is reviewing legal options. Similar cases have emerged globally as regulators scrutinize how dominant platforms leverage their market position.

This case highlights the intensifying competition between traditional tech giants and fintech innovators like Klarna, which has expanded beyond payments into e-commerce services. The substantial damages award sends a clear message to platforms about fair treatment of rival services in search results.