Canada’s antitrust watchdog is suing Google to force it to break up the company’s ad tech division. In the statement published on ThursdayDuring the US Thanksgiving holiday, the Competition Bureau said a “comprehensive” investigation found that Google had abused its dominant position in programmatic web advertising to “protect and strengthen its market power”.
Specifically, the watchdog accused Google of prioritizing online ad inventory over its tools. The Competition Bureau alleges that the company also took a financial hit to some operations in an effort to neutralize rival platforms, and even went so far as to dictate the terms on which its clients could do business with competing ad tech companies.
Among other means, the Competition Bureau is trying to force Google to sell two of its ad technology tools. The agency also wants the company to pay a fine for its conduct.
Google did not immediately respond to Engadget’s request for comment. In the statement he shared with ReutersGoogle said the complaint “ignores intense competition in which ad buyers and sellers have many choices.” Dan Taylor, vice president of Global Ads, added that he looks forward to arguing the tech giant’s lawsuit in court: “Our ad technology tools help websites and apps monetize their content and enable businesses of all sizes to effectively reach new customers.” At Google, he said separately.
“The Competition Bureau conducted an extensive investigation that found that Google abused its dominant position in online advertising in Canada by engaging in conduct that forced market participants to use its ad technology tools, excluded competitors, and distorted the competitive process,” said Matthews. Boswell, Canadian Competition Commissioner.
“Google’s conduct has prevented competitors from competing on the benefits they offer, to the detriment of Canadian advertisers, publishers and consumers. “We are taking our case to the Tribunal to stop this behavior and its harmful effects in Canada.”
This comes as Google tries to fend off a separate attempt US Department of Justice to disrupt the company’s advertising business. Both sides made their closing arguments in the case on Monday, and a decision could be announced next week.
