The landmark trial brought by the United States Department of Justice (DOJ) and eight states is about to define the course of the digital advertising market regarding antitrust law and Google. Although the search engine is the most used for organic searches , the case under discussion concerns paid media advertising.
The indictment alleges that Google engages in monopolistic practices in the advertising technology industry, harming competitors and limiting innovation. The verdict, expected in the coming months, could lead to profound changes in the technology giant's business structure and set precedents for other companies in the sector.
According to the US Department of Justice, Google dominates key tools for buying and selling online ads, including AdExchange, DoubleClick and Google Ads. The company allegedly uses its position to make excessive profits, compromising competitiveness and diversity of options for advertisers.
Key arguments in the antitrust lawsuit against Google
The U.S. Department of Justice claims that Google holds 87 instagram data percent of the market for ad-selling technology and 91 percent of the market for ad servers for publishers. Prosecutors say that gives the company control over nearly every step of the digital advertising process, from pricing to distribution.
In an internal message exchange from 2009, a Google executive reportedly stated that the goal was to “do with digital advertising what we did with search,” reinforcing the intention to dominate the market.
Additionally, the indictment cites the company's deletion of internal messages as indicative of anticompetitive behavior. While Google argued that these were trivial conversations, some of the conversations involved strategic decisions.
The claim is reinforced by witnesses from affected companies, including News Corp and YouTube , who described losses resulting from Google's dominance in the sector. Prosecutors point out that the current model reduces publishers' revenues by charging fees of up to 36% on advertising transactions.