Judge Rules Google Illegally Dominated Online Ad Markets

A United States judge has determined that Alphabet’s Google illegally monopolized two key markets within the online advertising technology sector, Al Jazeera reports.

The decision represents another setback for the tech giant in an antitrust case brought by the US government.

US District Judge Leonie Brinkema, presiding in Alexandria, Virginia, ruled on Thursday that Google unlawfully held monopolies in the markets for publisher ad servers and ad exchanges, which facilitate transactions between ad buyers and sellers. However, the judge found that antitrust enforcers failed to demonstrate a monopoly in advertiser ad networks.

The ruling empowers prosecutors to potentially argue for a breakup of Google’s advertising product suite. The US Department of Justice (DOJ) has previously stated that Google should be compelled to sell off at least its Google Ad Manager, which includes the company’s publisher ad server and its ad exchange

As a result of this decision, Google now faces the possibility of being subject to orders from two separate US courts to divest assets or alter its business practices.

Next week, a judge in Washington will preside over a trial concerning the DOJ’s request for Google to sell its Chrome browser and take other measures to curb its dominance in the online search market.

Judge Brinkema oversaw a three-week trial last year centered on claims brought forth by the DOJ and a coalition of states.

During the trial, prosecutors argued that Google employed traditional monopolistic tactics, including eliminating competitors through acquisitions, locking customers into its ecosystem of products, and controlling the mechanics of transactions within the online advertising market.

Google countered that the case primarily focused on historical practices when the company was still in the process of enabling its tools to connect with competitor offerings. Google’s legal counsel also argued that prosecutors overlooked competition from other technology companies, such as Amazon.com and Comcast, as digital advertisement spending shifted toward apps and streaming video platforms.

This legal development coincides with similar antitrust allegations facing Meta, the parent company of Instagram, Facebook, and WhatsApp.