Google Ruled to Hold Illegal Ad Tech Monopoly
A federal judge ruled Thursday that Google maintains an illegal monopoly over key parts of the online advertising technology sector. The ruling focuses on Google's dominance in publisher tools and ad exchanges, finding the company violated Sections 1 and 2 of the Sherman Act.
This decision, following a three-week trial, supports the Department of Justice's efforts to curb Google's control over the vast digital advertising market. Judge Leonie Brinkema of Virginia issued a 115-page opinion detailing how Google leveraged its power in publisher ad servers and ad exchanges. The judge stated Google used policy and technology integration to establish and protect its monopoly.
The court found that Google's anticompetitive policies and elimination of desirable product features harmed publishers, competition, and ultimately, consumers. This ruling could significantly impact the advertising industry, adding to an already turbulent year.
Google Faces Potential Business Restructuring
This ruling follows a separate antitrust case in August where Google was found to have a search monopoly. The company is now facing potential restructuring of its advertising business, its primary revenue source. Remedies for this ad tech case are still under consideration.
“We won half of this case and we will appeal the other half," said Lee-Anne Mulholland, Google's vice president of regulatory affairs. "The Court found that our advertiser tools and our acquisitions, such as DoubleClick, don’t harm competition. We disagree with the Court’s decision regarding our publisher tools. Publishers have many options and they choose Google because our ad tech tools are simple, affordable and effective.”
Other digital advertising platforms, including Meta Platforms, are also facing regulatory scrutiny and antitrust lawsuits.
