Google sued again by US over advertising monopoly allegations

Google sued again by US over advertising monopoly allegations

Those who follow the processes involving big techs know that both Google and Apple have been accused for many years of monopolizing ads and services on the platforms and devices they offer to consumers. A few years ago, lawsuits and fines against these companies used to take place in Europe, but the United States has been tightening the siege against activities that may characterize unfair competition.

  • Google Questioned Again Over Alleged UK Antitrust Actions
  • Google suffers new US antitrust lawsuit over Play Store guidelines

On Tuesday, the Justice Department and eight states filed an antitrust lawsuit against Google, alleging that the company illegally monopolizes the online ad market. It is the second process that the Mountain View Giant receives for the same reason in the United States.

The 155-page filing was filed in the Eastern District of Virginia, where officials accuse big tech of making acquisitions to boost its advertising division, in an offensive that has forced advertisers and publishers to use its products at the expense of competing advertising companies.

“An industry giant, Google, has corrupted legitimate competition in the ad tech industry by engaging in a systematic campaign to take control of the wide range of high-tech tools used by publishers, advertisers and brokers to facilitate advertising. digital”, says the lawsuit.

The process is similar to the one that was also moved by several local administrations in the United States in 2020 and which is still ongoing.

Google advertising in a separate business

Lawsuits like this are slow to resolve, but prosecutors in the case, according to NPR, have been asking a federal judge to force Google to separate its advertising business from the rest of the company. They claim that online advertisements favor big tech “for reasons that are neither accidental nor inevitable”.

As an example, they cite when, in 2017, Google bought the advertising tools company DoubleClick, in a billion dollar deal, with the aim of gaining direct access to the inventory of website publishers and the ad serving technology used by these competitors.

This has given the company a unique position on both sides of the online advertising business: both selling ads to publishers and influencing the tools competitors use to display ads, not to mention its online auction platform where transactions take place. .

According to the lawsuit, this acquisition gave Google “unilateral power to implement a series of anti-competitive restrictions”, to use “its dominance over the publisher and advertisers market to inhibit competition across the technology stack”.

For now, Google has not yet commented on the matter.