Google Accused Of Harassing Power On Website Ads

Google's Vice President of Global Ads, Dan Taylor. (photo; x @todmeisner)

JAKARTA - British antitrust regulator, Competition and Markets Authority (CMA), stated that Alphabet Inc., Google's parent company, has abused its dominance in digital advertising to limit competition. CMA's interim findings indicate that Google uses anti-competitive practices in open advertising technology, prioritizing its own ad exchange, potentially harming thousands of publishers and advertisers in the UK.

"We found that Google is using its market power to hinder competition over ads seen by people on websites," saiddia Enser, CMA's Interim Executive Director of Law Enforcement. Advertising on websites and apps reaches millions of people across the UK and helps support sales of goods and services.

Google expressed its disapproval with CMA views and plans to respond immediately. "Our advertising technology tools help websites and apps fund their content and allow businesses of various sizes to reach new customers effectively. This case is based on a wrong interpretation of the advertising technology sector," said Google's Vice President of Global Ads, Dan Taylor.

Investigations into Google's activities in advertising technology are also being carried out by the US Department of Justice and the European Commission. In June 2023, EU regulators indicated that Google may have to sell part of its advertising technology business to address these concerns. However, Google stated that the move was "disproportionate."

The CMA said that since at least 2015, Google has abused its dominance in advertising supply chains, both on the buying and selling sides, to benefit its AdX ad exchange in auctions.

Regulators have the authority to impose fines of up to 10% of a company's global income, depending on the level of serious violations. The CMA can also issue legally binding directives to end the breach. Currently, the CMA will consider a statement from Google before making a decision regarding the actions to be taken.