The US DOJ and eight individual states filed a lawsuit against Alphabet Inc.’s Google, alleging that they had illegally monopolized the ad market.
Department of Justice Case Against Google
The DOJ said in their official filing documents in Virginia: “The harm is clear: website creators earn less, and advertisers pay more, than they would in a market where unfettered competitive pressure could discipline prices and lead to more innovative ad tech tools that would ultimately result in higher quality and lower cost transactions for market participants. This conduct hurts all of us.”.
In an email statement Google commented on the DOJ case by saying: “attempts to pick winners and losers in the highly competitive advertising technology sector. It largely duplicates an unfounded lawsuit by the Texas Attorney General, much of which was recently dismissed by a federal court. DOJ is doubling down on a flawed argument that would slow innovation, raise advertising fees, and make it harder for thousands of small businesses and publishers to grow.”.
Several states, including New York, California, and Virginia, were part of the formal complaint.
Google controls the majority of the infrastructure needed to acquire, sell, and serve digital advertisements, which amounts to $278.6 billion in the United States alone.
Experts are saying, this case might go for a long time without getting resolved.