In addition to the DoJ, eight states joined the lawsuit, including California, Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee, and Virginia.
“Having inserted itself into all aspects of the digital advertising marketplace, Google has used anti-competitive, exclusionary, and unlawful means to eliminate or severely diminish any threat to its dominance over digital advertising technologies,” the government alleged in its antitrust lawsuit, filed in U.S. District Court of the Eastern District of Virginia. Google has been engaging in this behavior for 15 years, the complaint alleges.
As described in the 150-page complaint, “Google’s plan has been simple but effective: (1) neutralize or eliminate ad tech competitors, actual or potential, through a series of acquisitions; and (2) wield its dominance across digital advertising markets to force more publishers and advertisers to use its products while disrupting their ability to use competing products effectively.”
“As a result of this scheme, website creators earn less, and advertisers pay more,” said Attorney General Merrick Garland in a Jan. 24. news conference announcing the lawsuit. “That means that fewer publishers are able to offer Internet users content without subscription, paywalls, or other forms of monetization.”
“No matter the industry and no matter company, the Justice Department will vigorously enforce our antitrust laws,” Garland added.
Calling it a “landmark action,” Associate Attorney General Vanita Gupta said the complaint against Google “underscores that it’s a priority of this Justice Department to fight the abuse of market power.” She further noted that the complaint is “just one example of its broader effort to root out anti-competitive behavior, regardless of how and where it may arise.”
In its lawsuit, the government is seeking, among other remedies, that the court “order the divestiture of, at minimum, the Google Ad Manager suite, including both Google’s publisher ad server, DFP, and Google’s ad exchange, AdX, along with any additional structural relief as needed to cure any anti-competitive harm.” It is also requesting that Google be enjoined from continuing to engage in anti-competitive practices, and that the court “enter any other preliminary or permanent relief necessary and appropriate to restore competitive conditions in the markets affected by Google’s unlawful conduct.”
Jaclyn Jaeger is a contributing editor at Compliance Chief 360° and a freelance business writer based in Manchester, New Hampshire.