The Italian Competition Authority (AGCM) has fined Ryanair €256 million (R4,9 billion) for abuse of a dominant market position after the airline allegedly restricted travel agencies from purchasing fares through its website between 2023 and 2025.
Following a two-year investigation, the AGCM found that Ryanair had adopted measures that limited both online and traditional travel agencies from purchasing its tickets.
According to the investigation, measures included blocking agency bookings via payment restrictions and mass deletion of OTA accounts, as well as imposing agreements on OTAs and traditional agencies that limited the ability to combine Ryanair flights with other services.
Ryanair will appeal the ruling saying that it undermines a decision by the Milan Court, which declared that the airline’s direct distribution model benefited consumers and led to competitive fares.
“When Ryanair first started, 20% of ticket revenues were wasted paying travel agents 10% commissions and GDS systems 10%. The Internet has enabled Ryanair to distribute directly to consumers, and Ryanair has passed on these 20% cost savings in the form of the lowest fares in Italy and Europe. The AGCM ruling is legally unsound, and contradicts the Precedent Milan Court Ruling of January 2024, which declared that Ryanair’s direct distribution model benefits consumers,” said Ryanair CEO, Michael O’Leary.
