US sues Google for controlling digital advertising

Tuesday marked the opening of a legal action, or lawsuit, against Google by the Justice Department and eight states. They charge the internet giant with misusing its power in its online advertising business. According to the lawsuit, Google’s dominance has harmed marketers, customers, and even the American government. According to the government, Google wants to “neutralize or eliminate” rivals in the market for internet advertisements. According to the lawsuit, Google is pressuring advertisers to use its products by making it harder for them to use those of its rivals.

“Monopolies threaten the free and fair markets upon which our economy is based,” Attorney General Merrick Garland said to reporters Tuesday. According to Garland, Google has altered online ad operations and hindered the development of other technologies for the past 15 years. According to him, publishers and marketers are compelled to utilize the company’s tools by the way it operates. Publishers with high sales can control their ads with Google’s ad management. An online marketplace for buying and selling display adverts is called an ad exchange.

According to Garland, Google owns the technology that allows the majority of well-known websites to sell advertising space. When ad space is sold, it also manages the biggest exchange for ads, which links publishers and advertisers. “Website creators earn less and advertisers pay more,” he claimed to be the outcome. Google must cease running companies that oversee the purchase and sale of digital display advertising, according to the lawsuit. The company that owns Google, Alphabet, issued a statement regarding the lawsuit. A false “argument that would slow innovation, raise advertising fees, and make it harder for thousands of small businesses and publishers to grow” is what the government is allegedly putting up. Currently, Google’s revenue comes primarily from digital adverts.

Be the first to comment

Leave a Reply

Your email address will not be published.