U.S. authorities investigating Alphabet Inc's Google for anticompetitive be...
) Google for anticompetitive behavior have recently begun probing the company’s $116 billion-a-year advertising business.
“Ad tech is a very crowded field, and Google competes with hundreds of companies, including household names like Adobe, Amazon, AT&T, Comcast, News Corp and Verizon,” company spokesman Josh Zeitz said. “Publishers and advertisers mix and match technology partners to meet their different needs, creating both competition and innovation.”that its services foster competition.
For instance, the only technology system for buying ads on YouTube, the world’s largest video streaming website, is Google’s ad buying tool. Services such as Facebook Inc maintain similar control, in part to limit too widely sharing users’ data. But as YouTube increasingly dominates online video, rival tools for placing ads in video streams become less attractive to advertisers because they can only access smaller audiences.
To poach big customers from Google, smaller firms say they would need the cash to diversify their businesses and develop a complete suite of services. But drawing investment has been challenging because of the looming threats of Google and increased data privacy regulation.Google’s variety of ad tools enable it to bundle them in a way that rivals say they cannot afford to match.
“The ubiquity of Google’s ad server provides virtually total control over which ads are shown and monetized for the majority of the Internet,” said Romain Job, chief strategy officer at competitor Smart AdServer. “This control of the ad server is strategically critical to Google.”Google has allowed publishers using DoubleClick to sell ad space on various marketplaces, not just AdX.
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