Google is gearing up for its second antitrust trial in September 2023, this time facing off against the Department of Justice over allegations of monopolistic practices in the ad-tech industry. The lawsuit filed by the DOJ argues that Google's advertising technology services create an unfair advantage for the tech giant over its competitors, resulting in a monopoly in the advertising space and higher ad prices for customers.
According to Google's annual revenue report, 77% of the company's total earnings in 2023 came from its ad-tech services, totaling $237 billion out of $307 billion. This reliance on advertising revenue has drawn scrutiny from regulators and competitors alike.
In a previous ruling in August, a federal judge found Google guilty of violating antitrust laws in the search engine space, prompting concerns about the company's dominance in multiple sectors. Google has faced accusations of driving competitors out of the market through anticompetitive practices and maintaining an unfair advantage in the ad-tech industry.
The upcoming trial is expected to delve into Google's control over the buying, selling, and largest ad exchange in the advertising sector, with critics likening it to a major financial institution owning a stock exchange. Google's response to these allegations is likely to focus on the superiority of its products and downplay concerns about monopolistic behavior.
The trial will take place in Alexandria, Virginia, and is anticipated to last for several weeks as both sides present their arguments. The judge overseeing the case is working to establish a timeline for finding a remedy to address the antitrust concerns raised by the DOJ. A detailed proposal for a solution is expected from the DOJ by the end of the year, with a deadline for resolution set for August 2025.