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Google Found Guilty of Monopolising Digital Advertising Market
A US federal judge has ruled that Google illegally acquired and maintained a monopoly in digital advertising, marking yet another antitrust defeat for the tech giant. The ruling could potentially lead to Google being forced to divest parts of its business.
Leonie Brinkema, the district judge presiding over the case in Virginia, stated that Google had “wilfully” monopolised two key components of the digital advertising market: the technology utilized by online publishers to sell ad space, and the largest exchange for ad bidding by businesses.
While the judge found Google guilty of monopolising these aspects, she noted that the US Department of Justice failed to prove that Google unfairly dominated the third component of the market, advertiser ad networks.
This latest ruling follows a previous antitrust case where a federal judge found Google guilty of maintaining an illegal monopoly on search through exclusive deals. The upcoming phase of that trial will determine potential remedies, including the possibility of Google having to divest certain business segments.
The Department of Justice had previously requested Google to sell its Chrome browser, cease multi-billion dollar payments to Apple annually to secure its position as the default search engine, and increase data sharing with competitors.
In her ruling, Brinkema highlighted Google’s actions over the past decade, stating, “Google further entrenched its monopoly power by imposing anti-competitive policies on its customers and eliminating desirable product features.”
Despite Google’s claim that publishers have various options and choose Google for its simplicity, affordability, and effectiveness, the judge’s decision stands.
This victory represents a significant win for antitrust enforcement, the media industry, and the concept of a free and open internet. Jonathan Kanter, the former head of the DoJ’s antitrust unit, emphasized the importance of holding Google accountable for its illegal monopolistic practices.
The ruling signifies a shift towards stricter enforcement against Big Tech companies, as indicated by antitrust officials appointed during the Trump administration. The US Federal Trade Commission has also initiated a monopoly trial against Meta in Washington federal court.
As of now, the Department of Justice has not provided any immediate comment on the ruling.