The Justice Department, joined by a coalition of states, and Google each made opening statements this week to a federal judge in Alexandria, Virginia, who will decide whether Google holds a monopoly over online advertising technology.
The regulators contend that Google built, acquired and maintains a monopoly over the technology that matches online publishers to advertisers. Dominance over the software on both the buy side and the sell side of the transaction enables Google to keep as much as 36 cents on the dollar when it brokers sales between publishers and advertisers, the government contends.
They allege that Google also controls the ad exchange market, which matches the buy side to the sell side.
“One monopoly is bad enough. But a trifecta of monopolies is what we have here,” Justice Department lawyer Julia Tarver Wood said during her opening statement.
Google says the government’s case is based on an internet of yesteryear, when desktop computers ruled and internet users carefully typed precise World Wide Web addresses into URL fields. Advertisers now are more likely to turn to social media companies like TikTok or streaming TV services like Peacock.
In her opening statement, Google lawyer Karen Dunn likened the government’s case to a “time capsule with a Blackberry, an iPod and a Blockbuster video card.”
Dunn said Supreme Court precedents warn judges about “the serious risk of error or unintended consequences” when dealing with rapidly emerging technology and considering whether antitrust law requires intervention. She also warned that any action taken against Google won’t benefit small businesses but will simply allow other tech behemoths like Amazon, Microsoft and TikTok to fill the void.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
AUSTRALIA WON'T FORCE SOCIAL MEDIA USERS TO SHARE THEIR PERSONAL DETAILS WHEN CHILD BAN TAKES EFFECT
Australia’s communications minister said this week the government won’t force social media users to hand over their personal information to tech companies, as children younger than 16 are set to be banned from the platforms.
FORD, FACING ECONOMIC HEADWINDS AND WEAK EV SALES, TO CUT 4,000 JOBS IN EUROPE
Ford Motor Co. says it will reduce its workforce by 4,000 in Europe and the U.K. by the end of 2027, citing headwinds from the economy and pressure from increased competition and weaker than expected sales of electric cars.
ABOUT 20% OF AMERICANS REGULARLY GET THEIR NEWS FROM INFLUENCERS ON SOCIAL MEDIA, REPORT SAYS
About one in five Americans - and a virtually identical share of Republicans and Democrats regularly get their news from digital influencers who are more likely to be found on the social media platform X, according to a report released this week by the Pew Research Center.
SPIRIT AIRLINES FILED FOR BANKRUPTCY. WHAT DOES THAT MEAN FOR TRAVELERS?
Spirit Airlines, the largest budget carrier in the U.S., filed for Chapter 11 bankruptcy protection this week. The airline said customers should not see any disruption to their travel plans while the process unfolds.
MEET THE WORKOUT GROUP THAT GETS PEOPLE EXERCISING OUTDOORS, EVEN IN THE DEAD OF WINTER
The sun had yet to come up in Edmonton, Alberta, and it was more than 20 degrees below zero. Tanis Smith layered up anyway, ready to run up and down hundreds of stairs among the trees in the Saskatchewan River Valley.
NEW PENTAGON REPORT ON UFOS INCLUDES HUNDREDS OF NEW INCIDENTS BUT NO EVIDENCE OF ALIENS
The Pentagon's latest report on UFOs has revealed hundreds of new reports of unidentified and unexplained aerial phenomena but no indications suggesting an extraterrestrial origin.
COMCAST TO SPIN OFF CABLE NETWORKS, ONCE STAR PERFORMERS FOR THE ENTERTAINMENT GIANT
Comcast will spin off many of its cable television networks that were once at the heart of the entertainment giant, with people increasingly swapping out their cable TV subscriptions for streaming platforms.
DELTA CEO SAYS THE TRUMP ADMINISTRATION WILL REVERSE GOVERNMENT 'OVERREACH' SEEN UNDER BIDEN
The chief executive of Delta Air Lines says the incoming Trump administration will be a “breath of fresh air” for airlines after what he called government “overreach” under President Joe Biden.
NVIDIA RIVALS FOCUS ON BUILDING A DIFFERENT KIND OF CHIP TO POWER AI PRODUCTS
Building the current crop of artificial intelligence chatbots has relied on specialized computer chips pioneered by Nvidia, which dominates the market and made itself the poster child of the AI boom.
MICROSOFT PITCHES AI 'AGENTS' THAT CAN PERFORM TASKS ON THEIR OWN AT IGNITE 2024
AI developers are increasingly pitching the next wave of generative AI chatbots as AI \"agents\" that can do more useful things on people's behalf. But the cost of building and running AI tools is so high that more investors are questioning whether the technology's promise is overblown.
