Google Avoids Ad Exchange Sale as Judge Orders Tech Integration
The judge accepted most behavioral remedies after finding Google illegally tied its publisher ad server to AdX and blocked rivals.
- On Wednesday, U.S. Judge Leonie Brinkema in Alexandria, Virginia, rejected the Department of Justice's bid to force Alphabet's Google to sell AdX, its online advertising exchange where publishers pay a 20% fee.
- The DOJ argued Google cannot be trusted to run AdX given its past behavior, while Google contended that a forced sale would be technically difficult and result in a painful transition harming customers.
- Financial data shows Ad Manager represented 4.1% of Google's overall revenue and 1.5% of operating profit in 2020, according to Wedbush research, though more recent figures were redacted from court documents.
- This ruling marks the third consecutive time a judge has rejected a bid by U.S. antitrust enforcers to break up Big Tech, following similar outcomes for Meta Platforms and Google's Chrome browser.
- Judge Brinkema accepted most of the proposed behavioral remedies instead of a breakup, fueling questions about whether courts can effectively check Big Tech's unprecedented power over the U.S. economy.
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A federal judge refused to force the tech giant to sell its AdX platform, even though the Justice had determined monopolistic practices. Instead of dismantling part of the company, she imposed rules on how it should operate in the digital advertising market.
US judge rejects bid to break up Google's ad business
The reasoning behind Wednesday's decision was not made public. The government's case portrayed Google as simultaneously controlling multiple sides of the digital advertising marketplace, owning the platform that publishers use to sell ads as well as the exchange where transactions occur, all while commanding huge advertiser demand.
Judge allows Google to avoid breakup in win against DOJ
A federal judge has allowed Google to keep its digital advertising exchange marketplace, marking another win for the Big Tech giant as it fends off antitrust lawsuits from the federal government. In the U.S. District Court for the Eastern District of Virginia, Judge Leonie Brinkema ruled on Wednesday that Google does not have to sell […]
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