Google’s fortress in the digital ad world just took a direct hit. In a sharp ruling on April 17, a federal judge found the tech giant illegally dominated two key markets in online advertising marking a pivotal moment in the US government’s sprawling antitrust crackdown on Big Tech.
US District Judge Leonie Brinkema ruled that Google unlawfully monopolized the markets for publisher ad servers and ad exchanges — platforms crucial for facilitating online ad sales between buyers and sellers. However, she noted that prosecutors failed to prove Google held monopoly power in advertiser ad networks.
The decision, stemming from a three-week trial in Alexandria, Virginia, brings Google a step closer to potentially being forced to dismantle parts of its lucrative ad tech empire. The US Department of Justice has previously argued that Google should divest at least its Google Ad Manager, which includes both its ad exchange and publisher ad server.
Now, Google could face the prospect of two courts ordering major structural changes. A separate trial begins next week in Washington, where the DOJ is seeking to make Google sell its Chrome browser and curb its grip on online search.
Judge Brinkema’s ruling sets the stage for a follow-up proceeding to determine what remedies — potentially including asset sales — are needed to restore competition in the affected markets. No date has been set for that hearing.
At trial, prosecutors laid out how Google cemented its dominance through classic monopoly tactics: snapping up rivals, locking in clients, and controlling the flow of ad transactions. The company had even considered selling off its ad exchange in Europe to address separate antitrust concerns, Reuters reported last year.
(With inputs from agencies)
