EU slaps Google with antitrust charges over ad tech policies
Google has been charged by the European Union with an antitrust complaint over its advertising technology, known in the industry as adtech. The European Commission, the EU’s executive arm, has accused the tech giant of distorting competition in the advertising technology industry in Europe, by favouring its own online display advertising technology services to the detriment of competing providers. Google allegedly began championing its own ads since at least 2014, both in their purchase and publication on websites and mobile apps. EU’s competition chief, Margrethe Vestager, said Google’s alleged favouring of its own intermediation services “harmed Google’s competitors but also publishers’ interests, while also increasing advertisers’ costs.” The complaint marks the latest regulatory setback for Google’s parent company, Alphabet, which is also facing major antitrust actions in the US.
FAQs:
What has the European Union accused Google of?
The European Union has accused Google of favouring its own online display advertising technology services to the detriment of competing providers.
What is adtech?
Adtech, short for advertising technology, refers to the processes and software used to serve advertisements to consumers on digital channels and devices.
What are the consequences of violating Europe’s antitrust laws?
If found guilty of violating Europe’s antitrust laws, companies can be fined “up to 10% of the company’s annual worldwide turnover.” In Google’s case, this could amount to nearly $30 billion in damages.
What other antitrust actions is Alphabet facing?
Alphabet is facing major antitrust actions in the US, where the Justice Department and several states have filed lawsuits against the company’s various business segments, including its search engine and advertising technology. The company is also being investigated over its Google Maps business in the US.
Antitrust charges filed against Google by EU over ad tech policies
The European Union has lodged an antitrust complaint against Google over its adtech platform, alleging that the tech giant has “distorted competition in the advertising technology industry” in Europe. The preliminary accusation is that Google has favored its own online display advertising technology services, to the detriment of competitors, since at least 2014. This has also allegedly led to increased costs for advertisers. The EU’s competition chief, Margrethe Vestager, said the company is present “at almost all levels of the so-called adtech supply chain.” EU representatives will hear Google’s response to the allegations before deciding whether it has violated Europe’s antitrust laws, for which it could be fined up to 10% of its annual worldwide turnover.