DOJ Sues Google Again, Attacking Its Online Ad Dominance

The US Department of Justice in eight states on Tuesday sued Google for its online advertising businessaccusing him of using his authority to harm both the media and the preachers.

The DOJ complaint — which you can read below in full — was filed in federal court in Virginia. It accuses Google of “damaging fair competition in the social media industry” by seizing control of online advertising systems and imposing “itself on all aspects of the digital media market.” Google allegedly did this by removing competition from the market and using its power to get advertisers to use its products over others. The complaint names Google only as a defendant and not anyone else. It is also calling for Google to sell off parts of its media technology business.

The Department of Justice also said that Google punishes websites that “dare to use competitive advertising products” and use its rights in advertising technology to “enable other businesses and advertising products his own, as he takes out large amounts of money to support his own pockets and media companies. The money of the advertisers and publishers he is serving.”

The case is the latest example of the government’s efforts to get back at Big Tech. The most profitable companies on the planet wield enormous power in our lives and businesses around the world.

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Google denies the allegations.

“Today’s ruling from the DOJ is trying to pick winners and losers in the highly competitive ad technology sector,” Google advertising chief Dan Taylor said in a blog post. The Justice Department’s case largely repeats the “nonsensical case” of Texas Attorney General Ken Paxton that was dismissed in federal court, Google argued. The Justice Department’s case is unfair and “will slow innovation, raise advertising costs and make it harder for thousands of small businesses and young publishers,” Taylor said.

The Justice Department did not respond to requests for comment.

Although there are some similarities to the Texas case, the Justice Department conducted its own year-long investigation that showed Google maintained “many monopolies,” Assistant Attorney General Jonathan Kanter said at a press conference Tuesday.

The Justice Department’s ruling is a rare case in which the department has called for the expansion of large corporations. Other examples include its face with the major developer IBM in the 1970s, AT&T’s phone giant in 1982 and Microsoft’s creation of Windows in 2000.

It comes as governments around the world seek to crack down on Big Tech. The US Congress in the last year or so has considered that American Innovation and Choice Online Act to stop the influence of Amazon, Apple and Google in the digital market. Last year, Google was fined in France for monitoring the user and believe that a $391.5 fine to state attorneys general for location tracking practices.

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Kanter said that Google’s dominance in digital media is the same as banking institutions such as Goldman Sachs or Citibank with the New York Stock Exchange. Google has been engaging in this practice for 15 years, raising ad prices, reducing website revenue, stifling innovation and “making the public’s perception of us worse,” he said. Kanter alleged that Google’s actions harmed the government and the US military.

In an example of alleged abuse, Kanter said Google:

  • Link processing is used to lock content creators into Google’s system.
  • Manage the marketing campaign by giving yourself the first and last advantage over the marketing process.
  • Websites banned the use of competing technologies and punished those who tried.
  • Competitors’ participation data is collected and used.

Kanter also used information from Google documents and employees to argue for the company’s rights:

  • A Google employee said that the company’s advertising exchange is “authoritative.”
  • Company executives say that switching ad servers for publishers is a “nightmare” that “does God’s work.”
  • A Google manager said, “Our goal should be all or nothing. Use Google’s advertising exchange or we don’t get the access our advertisers want.”
  • A Google employee said the company “charges” advertisers $3 billion, handing the money over to publishers to convince them to use Google’s ad technology.
  • A Google executive described a process to “eliminate” competitors.
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The Computer and Computer Communications Industry Association, a group of technology lobbyists, supported Google despite the initial support for “appropriate” government intervention: “We see this lawsuit and the radical treatment that it -incorrect suggestion. Digital services are competing fiercely for advertising dollars on screens of all sizes, and reporting seems to ignore these trends and the global media giant’s strategy,” the group said. and declaration.

This is the second antitrust lawsuit filed by the Justice Department against Google but the first from the Biden administration. A October 2020 judgment filed during the Trump administration accused Google of blocking competitors by partnering with Apple and Samsung to be the default search engine on their devices.

Google is facing A Texas-led antitrust case, along with 16 states and territories, alleging that the search giant is working with Facebook to give the social network an advantage in the online advertising market. The Department of Justice, according to the Clayton Antitrust Act, is also allowed to sue if the federal government believes it has been harmed.

Last year, Google tried to defend the case of the Department of Justice by offering to split its media technology businessThe Wall Street Journal reported.

CNET’s Stephen Shankland contributed to this report.

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