Google, represented by its parent company Alphabet, has petitioned a federal court in Virginia to dismiss a lawsuit brought forth by the U.S. Justice Department in January 2023, which alleges that the tech giant engaged in anticompetitive practices within the online advertising sector.
According to reports from Reuters, the Justice Department’s lawsuit contends that Google abused its dominant position in the digital advertising realm and calls for the divestiture of Google’s ad manager suite, a critical component of the company’s advertising network, which contributed 12% to its revenue in 2021. Google’s advertising arm represents a substantial portion of its overall income, making up about three-quarters of its total revenue.
Google responded to these allegations on Friday, saying that the government’s case exceeds the confines of antitrust legislation. The company argued that the purportedly anticompetitive actions highlighted by the Justice Department are lawful business decisions and improvements aimed at benefiting its customers. Reuters reported Google’s stance, quoting the company’s position that the government’s case is “doomed” due to its attack on legitimate business practices.
The disagreement between Google and the U.S. government sets the stage for a legal battle scheduled to unfold in U.S. District Court in Virginia. Judge Leonie Brinkema has slated the trial for September, retaining the authority to shape the lawsuit’s trajectory before the commencement of proceedings. Both parties retain the option to pursue summary judgment, a procedural move that involves a thorough examination of the case’s factual merits.
Source: Reuters
Featured News
Big Tech Braces for Potential Changes Under a Second Trump Presidency
Nov 6, 2024 by
CPI
Trump’s Potential Shift in US Antitrust Policy Raises Questions for Big Tech and Mergers
Nov 6, 2024 by
CPI
EU Set to Fine Apple in First Major Enforcement of Digital Markets Act
Nov 5, 2024 by
CPI
Six Indicted in Federal Bid-Rigging Schemes Involving Government IT Contracts
Nov 5, 2024 by
CPI
Ireland Secures First €3 Billion Apple Tax Payment, Boosting Exchequer Funds
Nov 5, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Remedies Revisited
Oct 30, 2024 by
CPI
Fixing the Fix: Updating Policy on Merger Remedies
Oct 30, 2024 by
CPI
Methodology Matters: The 2017 FTC Remedies Study
Oct 30, 2024 by
CPI
U.S. v. AT&T: Five Lessons for Vertical Merger Enforcement
Oct 30, 2024 by
CPI
The Search for Antitrust Remedies in Tech Leads Beyond Antitrust
Oct 30, 2024 by
CPI