The US Department of Justice (DOJ) has proposed a breakup of Google’s advertising business, seeking that the company sell two key businesses, AdX and DoubleClick for Publishers (DFP), to address what it describes as an illegal monopoly in the online market. This follows a court ruling that found Google guilty of intentionally creating and maintaining ad tech monopolies.
The DOJ argues that these divestitures are required to restore fair competition and stop further abuse of market dominance, according to a recent court filing. Google would have to sell off DFP, an ad management platform for website publishers, and gradually and completely sell off its AdX ad exchange. Concerned about recurring infractions, the DOJ also wants to stop Google from running any ad exchange for ten years following the sale of AdX.
Furthermore, the DOJ stated that Google has allegedly created an ecosystem that is structured in such a way that publishers are forced to use its ad products. By integrating AdX and DFP, the company allegedly limited access to competing services and reduced publishers’ ability to earn revenue from non-Google platforms.
To further break down Google’s monopoly, the DOJ has requested that tools such as AdWords be made interoperable with third-party ad tech systems. When it comes to bidding, ad placement, and data access, these tools must all work on the same terms.
Google, meanwhile, has rejected the ask, saying it goes beyond the court’s conclusions. Publishers and advertisers would suffer from these proposed measures, according to e-Anne Mulholland, the company’s VP of regulatory affairs. In another filing, Google proposed more modest measures, like allowing third-party ad servers to bid in real time in AdX and putting its ad operations under the three-year supervision of an impartial monitor.
For the uninitiated, the company is already under pressure over its search business, with the government calling for the sale of the Chrome browser following a separate ruling declaring Google a monopoly in the search engine market.