According to a report, the US Justice Department (DoJ) intends to file a lawsuit against Google, a subsidiary of Alphabet Inc., over the platform’s hegemony in the digital advertising sector. Bloomberg reported that the case is anticipated to be filed in a federal court before the end of this week, citing people familiar with the situation.
The lawsuit will be the second federal complaint brought against the search engine giant and would claim a violation of antitrust rules
According to AFP, the lawsuit will be the second federal complaint brought against the search engine giant and would claim a violation of antitrust rules, which deal with how a tech firm develops or maintains its market dominance. The previous complaint, which targets Google’s search monopoly, was brought in 2020 and is set to go to trial this year in September. (Provigil)
Additionally, it would be the seventh lawsuit in the US to criticize Google’s commercial tactics. In addition to the two charges brought by the US Department of Justice, three more lawsuits have been brought by state attorneys general, alleging antitrust violations related to the dominance of the online search industry, advertising technology, and Android mobile platform apps.
The $278.6 billion digital advertising business in the US is presently dominated by Google
The $278.6 billion digital advertising business in the US is presently dominated by Google, which also owns the majority of the technology required to “purchase, sell, and serve online advertising.” According to Reuters, the most recent lawsuit is anticipated to “take a shot at” the search engine’s advertising sector, which generates approximately 80% of Google’s revenue. In the past, Google has claimed that the ad tech industry is crowded and competitive, citing rivalry from companies like Facebook Inc., AT&T, Comcast, and others.