Commission to investigate how Booking.com combats scams and fraud under the Digital Services Act

Today, the European Commission has opened formal proceedings to assess whether Booking.com may have breached the Digital Services Act (DSA) by not having diligently assessed or effectively mitigated risks related to fraudulent listings and phishing scams. The platform may also have breached the DSA when it comes to transparency because it did not clearly label as ads those listings whose providers paid for a higher ranking in search results shown to users.

The investigation will focus on the following areas:

1. Fraudulent and non-compliant listings on Booking.com

The Commission will examine whether the provider of Booking.com has properly identified and assessed the systemic risks linked to the dissemination of illegal content. Fake listings, such as for non-existent properties, impersonation fraud, and non-compliant accommodation offers may have negative effects on consumer protection.

The investigation will also assess whether the platform has put in place effective measures to mitigate these risks, including by removing fraudulent and non-compliant listings.

2. Phishing scams exploiting Booking.com's reservation and guest data

The Commission will also investigate whether the provider of Booking.com has diligently assessed and addressed the risks that phishing scams pose to consumers.

In particular, the investigation will focus on risks related to the way reservation and guest data is shared with accommodation providers, and the design and functioning of Booking.com's messaging service.

The Commission will also examine whether the company has put in place sufficient safeguards to prevent data from being misused to carry out phishing and solicit fraudulent payments.

3. Paid-for boosted listings not clearly identifiable as advertisements

The Commission will finally investigate whether Booking.com complies with the DSA's advertising transparency obligations.