Following a recent ruling declaring Google's search engine an illegal monopoly, the tech giant now faces another antitrust lawsuit over its advertising technology. The Justice Department and a coalition of states allege that Google has established a monopoly in the technology that connects online publishers with advertisers. This dominance allows Google to retain up to 36 cents on the dollar in transactions between publishers and advertisers.
Google argues that the case is based on outdated internet practices and highlights the shift towards social media platforms and streaming services for advertising. Despite the allegations, Google Networks, which includes services like AdSense and Google Ad Manager, has seen a decline in revenue in recent years.
The trial, set to begin in Alexandria, Virginia, will be presided over by U.S. District Judge Leonie Brinkema. The case could potentially lead to Google being required to divest parts of its ad tech business, a move that could have significant financial implications for the company.
The government's witnesses are expected to include executives from prominent publishers who have allegedly suffered due to Google's practices. The government argues that Google's actions have led to financial strain on publishers, impacting the open internet ecosystem.
Google refutes the claims of excessive fees and emphasizes the benefits of its technology in terms of speed and security. The company also points out the evolving landscape of online advertising, with a shift towards mobile apps and social media platforms.
The trial is expected to last several weeks in a courthouse known for its adherence to traditional practices. Despite the tech-centric nature of the case, the courtroom maintains strict rules regarding technology use, including a ban on cellphones.
As the trial unfolds, the outcome could have far-reaching implications for Google's ad tech business and the broader digital advertising industry.
