DOJ poised to sue Google over digital advert market dominance

DOJ poised to sue Google over digital ad market dominance - Bloomberg News
© Reuters. FILE PHOTO: The emblem for Google LLC is seen on the Google Retailer Chelsea in Manhattan, New York Metropolis, U.S., November 17, 2021. REUTERS/Andrew Kelly

(Reuters) -The U.S. Justice Division is poised to sue Alphabet (NASDAQ:) Inc’s Google as quickly as Tuesday relating to its dominance over the digital promoting market, Bloomberg Information reported on Monday, citing individuals aware of the matter.

The lawsuit could be the second federal antitrust criticism filed in opposition to Google, alleging violations of antitrust legislation in how the tech large acquires or maintains its dominance. The Justice Division lawsuit filed in opposition to Google in 2020 focuses on its monopoly in search and is scheduled to go to trial in September.

The Justice Division didn’t instantly reply to a Reuters request for remark, whereas Google declined to touch upon the report.

The lawsuit is anticipated to take an goal at Google’s promoting enterprise, which is accountable for some 80% of its income. Along with its well-known search, which is free, Google makes income by way of its interlocking advert tech companies, which join advertisers with newspapers, web sites and different companies trying to host them.

Advertisers and web site publishers have complained that Google has not been clear about the place advert {dollars} go, particularly how a lot goes to publishers and the way a lot to Google.

The tech large made a sequence of purchases, together with DoubleClick in 2008 and AdMob in 2009, to assist make it a dominant participant in internet advertising.

Google had beforehand argued that the advert tech ecosystem was aggressive with Fb Inc (NASDAQ:), AT&T (NYSE:), Comcast (NASDAQ:) and others.

Whereas Google stays the market chief by an extended shot, its share of the U.S. digital advert income has been eroding, falling from 36.7% in 2016 to twenty-eight.8% final yr, in line with Insider Intelligence.

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