DOJ, 9 States File Lawsuit Accusing Google of Monopolistic Practices
The Department of Justice and eight states filed a lawsuit against Google on Tuesday, accusing the tech giant of monopolistic practices in its digital advertising business.
For Context: Google’s digital advertising exchange accounted for 29% of the digital ad market in 2022, according to the Associated Press. The cut Google takes for managing ad exchanges, which AP lists as “30% to 50%,” accounts for around 80% of the company’s annual revenue, with ad sales expected to generate $73.8 billion this year for Google, according to the New York Post.
Key Quotes: Attorney General Merrick Garland said, “monopolies threaten the free and fair markets upon which our economy is based. They stifle innovation, they hurt producers and workers, and they increase costs for consumers.” A statement from the DOJ accused Google of engaging in a “course of anticompetitive and exclusionary conduct that consisted of neutralizing or eliminating ad tech competitors.” Responding to the lawsuit, Google’s VP of Global Ads, Dan Taylor, claimed the case’s argument relied on a “flawed argument that would slow innovation, raise advertising fees, and make it harder for thousands of small businesses and publishers to grow.”
How The Media Covered It: News of the suit was covered across the spectrum. The New York Post noted that Google’s share of the digital advertising market has declined in the last year. CNBC noted concerns raised by Google regarding a potential conflict of interest with DOJ antitrust division progressive chief, Jonathan Kanter, who used to work for Google’s competitors.
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From the RightJustice Department, 8 states sue Google over digital ad market dominance
The Justice Department and eight states filed suit against Alphabet’s search engine Google for allegedly monopolizing the digital advertising market.
“Google abuses its monopoly power to disadvantage website publishers and advertisers who dare to use competing ad tech products in a search for higher quality, or lower cost, matches,” the Justice Department said in its 149-page complaint filed in Virginia federal court.
New York, California, Virginia and Colorado were among the states that signed onto the lawsuit, which seeks to break up Google’s massive advertising business.
“We allege that Google has used anti-competitive,...
From the CenterDOJ files second antitrust suit against Google, seeks to break up its ad business
The U.S. Justice Department on Tuesday filed its second antitrust lawsuit against Google
in just over two years. It’s the latest sign the U.S. government is not backing down from cases against tech companies even in light of a mixed record in court on antitrust suits.
Google shares were down 1.3% on Tuesday afternoon.
This lawsuit, which is focused on Google’s online advertising business and seeks to make Google divest parts of the business, is the first against the company filed under the Biden administration. The department’s earlier lawsuit, filed...
From the LeftJustice Dept. sues Google over digital advertising dominance
The Justice Department and eight states filed an antitrust suit against Google on Tuesday, seeking to shatter its alleged monopoly on the entire ecosystem of online advertising as a hurtful burden to advertisers, consumers and even the U.S. government.
The government alleged in the complaint that Google is looking to “neutralize or eliminate” rivals in the online ad marketplace through acquisitions and to force advertisers to use its products by making it difficult to use competitors’ offerings. It’s part of a new, if slow and halting, push by the U.S....
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