US sues Google in latest suit against big tech for abusing dominance over online advertising market

The US Department of Justice and eight states have launched a lawsuit against Google, Inc., a California-based internet behemoth, for antitrust violations related to the company's monopolisation of the online advertising industry. Claiming that Google had "corrupted genuine competition in the ad tech business," the federal antitrust action claimed that the company had abused its dominant market position.

“Google has used anticompetitive, exclusionary, and unlawful means to eliminate or severely diminish any threat to its dominance over digital advertising technologies,” the suit added.

The US Department of Justice (DOJ) and eight individual states (Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee, and Virginia) have joined forces to pursue this matter. The issue hinges on Google's monopoly of advertising technology (ad tech), which is essential for any firm that wants to advertise online.

Prosecutors have said that Google "now dominates" the key industry, resulting in lower profits for website owners, more costs for advertising, and a slowdown in innovation.

According to the Deputy US Attorney General Lisa Monaco, "In  pursuit of outsized profits, Google has caused great harm to online publishers and advertisers and American consumers." Allegations that Google has abused its dominant position in the Android app store, internet search, and advertising technologies have led to a slew of state cases before the federal action.\

Also, READ: Zomato launches new 'Gold' loyalty program with discounts on food delivery, dining in at restaurants

Google has strongly refuted claims that it is a monopoly, citing Amazon, Facebook owner Meta, and Microsoft as competitors in the internet advertising business.