A federal judge has now reportedly ruled that Google illegally monopolized the advertising technology market, marking a significant development in an ongoing antitrust case initiated by the U.S. Department of Justice (DOJ) and eight states.
This ruling stems from a lawsuit filed in January 2023, which accused Google of maintaining monopoly power through anti-competitive practices, particularly after acquiring DoubleClick in 2008.
The judge’s decision highlights that Google violated the Sherman Act by unlawfully tying key components of its ad tech stack, specifically the Google Ad Manager and AdX ad exchange.
While the court found that the plaintiffs did not successfully demonstrate that “open-web display advertiser ad networks” represent a relevant market where Google holds monopoly power, it affirmed that Google’s actions constituted abuse of its monopoly power in the publisher-side ad tech sector.
The ruling opens the door for potential remedies, which could include breaking up Google’s advertising business or imposing behavioral restrictions to ensure fair competition.
Google’s vice president of regulatory affairs, Lee-Anne Mulholland, expressed disappointment with the ruling, stating that the court acknowledged their advertiser tools do not harm competition.
She indicated that Google plans to appeal the decision regarding their publisher tools.
The DOJ’s case argued that Google’s acquisition of DoubleClick allowed it to dominate the ad market, leading to inflated ad prices and reduced revenue for publishers.
The trial, which began in September 2024 and concluded in late November, examined how Google’s practices affected competition and market dynamics.
As the court prepares to establish a briefing schedule for potential remedies, this ruling could significantly impact Google’s operations in the advertising space and reshape the landscape of digital advertising.
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