Cookie Bites #111 - DOJ vs. Google’s Monopoly, IAB releases the IAB Diligence Platform, $88.13B of digital ad spend, and More!

Industry Insights

DOJ vs. Google: Landmark Antitrust Ruling Paves the Way for Search Market Shake-Up

A federal judge has ruled that Google has maintained a monopoly in the search and advertising markets, violating U.S. antitrust law. This landmark decision comes nearly 25 years after Microsoft lost a similar case, marking a significant victory for the Department of Justice, which accused Google of illegal monopolization.

Back in 2000, the Microsoft Antitrust Case found Bill Gates's company guilty of abusing its monopoly power, leading to restrictions on its business practices. Now, Google has been found guilty of stifling competition in internet search, echoing Microsoft’s past actions. The Microsoft case served as a significant precedent in the Google ruling, demonstrating the ongoing relevance of antitrust laws in the tech industry.

Moreover, the Google Antitrust Case could set the stage for future antitrust actions against other tech giants like Apple, Amazon, and Meta. The ruling raises uncertainty, as it addresses Google’s liability but not the remedies, which could range from changes in business practices to a potential breakup. Despite this, Google plans to appeal the decision, arguing that it provides the best search engine and should be allowed to make it easily accessible.

Why it matters:

This trial signals that the U.S. government is now prepared to challenge monopolistic powers, as there are lawsuits filed against Amazon, Meta, and Apple. For years, big tech has operated under a status quo that allowed them to dominate large market shares. But if Google —arguably the largest monopoly among them — has faced defeat, others may soon follow.

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What's the latest?

• Programmatic advertising now accounts for over 90% of display ad dollars, with digital advertising comprising more than 75% of total ad spend. This trend highlights the growing influence of online channels in shaping the marketing landscape and redefining how brands connect with consumers.
• The US ad market saw a 14% increase in July, with a notable 6% of this growth attributed to ad spending for the Paris Olympic Games. Despite the short 5-day duration of the event, it had a significant impact on the industry, reflecting the heightened importance of major global events in driving ad dollars.
• Earnings results from companies like Instacart, DoorDash, and Uber reveal a strong focus on grocery verticals, boosted by retailer partnerships and increased ad spend. According to Uber’s CFO, 15% of Uber Eats customers now shop for groceries through the app. Additionally, Uber's CEO noted that ad spending in grocery and retail has more than tripled on a year-over-year basis.
• The IAB Tech Lab has expanded its privacy compliance solutions to cover 14 more U.S. states under the Multi-State Privacy Agreement (MSPA). With no federal privacy law, this helps manage compliance with varying state regulations. It follows the launch of the IAB Diligence Platform, a tool for digital advertisers, agencies, and publishers.

Topsort Story

🚀 Big news! Topsort is a finalist for the Digiday Technology Awards, thanks to our cookieless solutions that landed us a spot in the Best Cookieless Identification Technology category. This recognition highlights how privacy-first advertising can be both powerful and effective.

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Check out the full shortlist

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