Alphabet’s Google is set to face U.S. antitrust prosecutors in a trial in Alexandria, Virginia, as the Justice Department accuses the company of stifling competition in online advertising technology. This marks Google’s second recent legal battle with the Justice Department, which alleges that Google monopolized the digital advertising ecosystem through acquisitions, restrictive practices, and manipulation of ad auctions.
The trial is part of a broader effort by U.S. antitrust enforcers, spanning both the Trump and Biden administrations, to challenge monopolistic behavior in Big Tech. Prosecutors claim that Google dominates the technological infrastructure driving online ad sales, affecting over 150,000 ad transactions every second. If the court finds Google guilty, it may force the company to divest its Google Ad Manager platform, which includes both its publisher ad server and ad exchange.
Google, however, denies the accusations, arguing that the prosecution overlooks competition from other sectors, such as apps and connected TV. The company insists that its actions were legitimate efforts to develop its technology and serve customers. In 2020, Google’s ad tech tools generated $20 billion in revenue, making up 11% of its gross income. The Ad Manager platform accounted for 4.1% of that revenue, with its operating profit amounting to 1.5%.
The trial is expected to last several weeks and will feature testimonies from Google executives, competitors in the digital advertising space like the Trade Desk and Comcast, as well as publishers such as News Corp and Gannett. This case is one of several legal challenges targeting Big Tech’s dominance, with the Justice Department also suing Apple and the Federal Trade Commission pursuing cases against Meta and Amazon.
