Google Inc (NASDAQ GOOG) is fighting a new combatant in its European antitrust case while Peter Theil called the European anti-trust measures a significant challenge to the firm. Google, for its part, humorously pointed to a famous incident of News Corp distorting the news.

News Corp says Google distorts search results on news stories, Google references “hamster sandwich” news story for comic relief. The Rubert Murdoch controlled News Corp (NASDAQ:NWSA), which owns The Wall Street Journal and Fox News, is complaining that Google is filtering the news and distorting results, according to a News Corp letter released Wednesday.

The media conglomerate is entering the fray in Google’s elongated European antitrust case, saying the search and technology giant unfairly distorts competition, according to an AP report.

In a letter to the EU’s antitrust authority, Google’s New York-based CEO claimed Google is “willing to exploit its dominant market position to stifle competition.” This occurs by systematically diverting users away from relevant search results that might organically point to Wall Street Journal, for instance, and instead pointing those who conduct searches to Google’s own content offerings.

Google Inc (NASDAQ GOOG) News: Google Fires Back

Google controls around 90% of the traffic in the EU region. While it has been fighting a long drawn battle with the EU, new opponents have been entering the fray regularly. PayPal co-founder and now biotech venture capital investor Peter Thiel recently speculated in a CNBC interview that the EU antitrust issue was among the most significant facing the firm.

“The risk with Google is the EU antitrust stuff,” Thiel explained in the interview. “Silicon Valley is sort of fairly oblivious to how this [antitrust issue] is building up because there’s been very little scrutiny from the U.S. on Silicon Valley. The EU is quite hostile. It’s in part because European companies have not been able to compete on the IT sector. So they are running to the regulators to shut down the U.S. businesses.”

Google Inc Financial News (NASDAQ GOOG)

For its part, Google seems sanguine if not light hearted in its response. “Phew! What a scorcher! Murdoch accuses Google of eating his hamster!,” was their response, a reference to a maligned 1989 News Corp tabloid story in which the focus of the front page in which comedian Freddie Starr was accused of eating a sandwich with a hamster.

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