The case is part of the Biden administration's effort to rein in Big Tech through antitrust law, and follows a major win for the Justice Department in a separate lawsuit on Aug. 5 when a judge found that Google illegally monopolized online search.
While that case focused on Google's ubiquitous search engine, the trial beginning in Alexandria, Virginia, on Monday will home in on less conspicuous Google technology that connects website publishers and advertisers.
Those advertising tools contributed to the more than 75 per cent of Google's $307.4 billion in revenue last year that came from advertising.
"Google is far and away the largest seller of advertising on earth. They touch every part of the industry, if not directly, then indirectly. Everyone has an interest in Google one way or another," said Brian Wieser, an advertising consultant and financial analyst.
The Justice Department and a coalition of states will seek to show Google broke US antitrust law in its digital advertising businesses. A victory for the states and Justice Department would set the stage for them to ask US District Judge Leonie Brinkema to order a breakup of the company.
The antitrust regulators accuse Google of dominating the markets for the technology behind website ads by tying its tools for publishers and advertisers together, staking out a "privileged position as the middleman."
Google has denied the claims, saying it is not required to share technological advantages with rivals and that its products are interoperable with those offered by competitors.
The Justice Department alleges that Google controls 91 per cent of the market for ad servers, where publishers offer ad space, more than 85 per cent of the market for ad networks, which advertisers use to place ads, and over half of the market for ad exchanges.
US antitrust trial targets Google’s digital ad business
FE Team | Published: September 05, 2024 00:45:13
US antitrust trial targets Google’s digital ad business
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