In a significant move, the U.S. Department of Justice (DOJ) has proposed that Alphabet&rsquo;s Google divest two of its key advertising technologies&mdash;AdX (Ad Exchange) and its ad server platform, DFP (DoubleClick for Publishers). This comes after a federal judge determined that the tech giant had unlawfully dominated two critical online advertising markets, putting its antitrust practices under intense scrutiny.
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The DOJ&rsquo;s proposed remedy was unveiled in a court filing on May 05, marking a new chapter in a legal battle that could reshape the landscape of online advertising. The Justice Department argues that Google&rsquo;s monopoly over the ad-exchange and publisher ad-server markets has stifled competition, and the divestitures are necessary to restore a level playing field.
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The judge set a September trial date on May 02, after hearing from Google and the DOJ on potential remedies for the company's dominance in ad tools used by online publishers.
<h2>What is the issue?</h2>
At the heart of this case is the claim that Google's control over AdX, an online marketplace where publishers sell their unsold ad space in real time, and DFP, a platform used by websites to manage their digital ad inventory, has given the company an unfair advantage. Together, these tools play a pivotal role in how news publishers, content providers, and advertisers interact, allowing Google to dominate the market and suppress competition.
<h2>Google&rsquo;s stance</h2>
Google, however, insists that its practices are not monopolistic and that the company supported behavioural remedies such as making real-time bids available to competitors, but that prosecutors cannot legally pursue a bid to force it to sell parts of its business.
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"The DOJ's additional proposals to force a divestiture of our ad tech tools go well beyond the Court's findings, have no basis in law, and would harm publishers and advertisers," Lee-Anne Mulholland, Google's Vice President of Regulatory Affairs, said in a statement to Reuters.
<h2>Playing monopoly?</h2>
The dispute between Google and the DOJ is not an isolated case. Last year, Google took a major step to resolve an antitrust investigation in the European Union by offering to sell AdX. However, European publishers rejected the offer, stating that it would not go far enough to resolve the competitive concerns in the ad-tech ecosystem.
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The issue of monopolistic practices in digital advertising has been a point of contention for years, as the rise of Google&rsquo;s advertising platforms has increasingly marginalised smaller competitors.
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As the September trial date approaches, all eyes will be on the court's decision and whether it will force Google to relinquish control of its key ad-tech assets. The outcome could have far-reaching implications for the future of digital advertising and the competitive dynamics between publishers, advertisers, and tech giants.

Business & Economy: The U.S. Department of Justice has proposed that Google divest two of its key advertising technologies—AdX (Ad Exchange) and DFP

In a significant move, the U.S. Department of Justice (DOJ) has proposed that Alphabet’s Google divest two of its key advertising technologies—AdX (Ad Exchange) and its ad server platform, DFP (DoubleClick for Publishers). This comes after a federal judge determined that the tech giant had unlawfully dominated two critical online advertising markets, putting its antitrust practices under intense scrutiny. The DOJ’s proposed remedy was unveiled in a court filing on May 05, marking a new chapter in a legal battle that could reshape the landscape of online advertising. The Justice Department argues that Google’s monopoly over the ad-exchange and publisher ad-server markets has stifled competition, and the divestitures are necessary to restore a level playing field. The judge set a September trial date on May 02, after hearing from Google and the DOJ on potential remedies for the company's dominance in ad tools used by online publishers. What is the issue? At the heart of this case is the claim that Google's control over AdX, an online marketplace where publishers sell their unsold ad space in real time, and DFP, a platform used by websites to manage their digital ad inventory, has given the company an unfair advantage. Together, these tools play a pivotal role in how news publishers, content providers, and advertisers interact, allowing Google to dominate the market and suppress competition. Google’s stance Google, however, insists that its practices are not monopolistic and that the company supported behavioural remedies such as making real-time bids available to competitors, but that prosecutors cannot legally pursue a bid to force it to sell parts of its business. "The DOJ's additional proposals to force a divestiture of our ad tech tools go well beyond the Court's findings, have no basis in law, and would harm publishers and advertisers," Lee-Anne Mulholland, Google's Vice President of Regulatory Affairs, said in a statement to Reuters. Playing monopoly? The dispute between Google and the DOJ is not an isolated case. Last year, Google took a major step to resolve an antitrust investigation in the European Union by offering to sell AdX. However, European publishers rejected the offer, stating that it would not go far enough to resolve the competitive concerns in the ad-tech ecosystem. The issue of monopolistic practices in digital advertising has been a point of contention for years, as the rise of Google’s advertising platforms has increasingly marginalised smaller competitors. As the September trial date approaches, all eyes will be on the court's decision and whether it will force Google to relinquish control of its key ad-tech assets. The outcome could have far-reaching implications for the future of digital advertising and the competitive dynamics between publishers, advertisers, and tech giants.

US pushes for Google to divest key ad-tech products after antitrust ruling

Google faced its third major lawsuit in two months on Thursday as 38 U.S. states and territories accused the $1 trillion company of abusing its market power to try to make its search engine as dominant inside cars, TVs and speakers as it is in phones.

Google hit with third lawsuit as US states sue over search dominance

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US pushes for Google to divest key ad-tech products after antitrust ruling

Google hit with third lawsuit as US states sue over search dominance