Justice declares that his advertising company is a monopoly

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Justice declares that his advertising company is a monopoly

Advertising, Company, declares, Justice, Monopoly

The United States judge gave Google another blow. According to a federal judge, Google has engaged anti -competitive practices on the online advertising market, mainly Create a monopoly which harms and even eliminates its possible competitors.

According to the sentence, the absolute domination of Google with its advertising company has affected both for possible competitors and even the media. The consequences of this judgment have not yet been defined, because the next step is that the parties involved in the case have possible measures to resolve this monopoly, and Google should appeal. One of the options that justice could impose is that Google separates its advertising activities as an independent company.

Google could be forced to separate from your online advertising business

This is a case whose consequences could be history for the way advertising works on the internet. The United States Ministry defeated Google in the trial in relation to its advertising activities; More specifically, the companies or markets involved in this case are those of advertising servers for editorial groups (called DFP) and that of advertising exchanges on Open Web (ADX).

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According to justice, Google would have forced online publishers to use these systems and their technology to access advertising spaces that are sold at auction via Google Platforms. In the case of DFP, these systems are what many web pages use to manage the announcements that users see and at what time they see them.

This company generates around 10% of Google's incomeAnd according to justice, in this way, Google controls approximately 87% of advertising activity, which affects its competitors on the market, and would have caused the disappearance of small competitors who simply could not have the opportunity to compete with the research giant.

In addition, this monopoly, according to the federal judge responsible for the case, also caused the media and even advertisers themselves, who would now pay more.

Then, the trial will request possible solutions and measures that can be implemented, depending on the sentence. One of the options that justice considers is that Google separates its companies DFP and ADX as an independent businessTo segment its structure. It would be a blow for Google's advertising activities, which is one of the most important in the company. However, it should be mentioned and clarified that other advertising companies such as YouTube announcements are not affected by the decision.

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It is, without a doubt, another blow against Google, a company which is currently involved in more cases in which it was accused of having initiated monopoly practices: in August 2024, the Ministry of Justice He condemned that Google had to separate from Chrome and the distance from AndroidAnd recently justice has reiterated its decision, ensuring that, when separating these products, competition will benefit.

In the coming months, and even years, we will see the development and results of these cases which could lead to one of these scenarios: or Google manages to call on these decisions and, thus, to maintain its various companies intact and within the framework of the company (although not without certain changes), or the company led by Supando Pichai could be deprived of separating in several parts.

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