DOJ demands Google break up ad empire amidst monopoly claims
The U.S. Department of Justice has called for Alphabet, the parent company of Google, to divest major components of its online advertising system. The department has filed a request to break up the company, claiming that it has monopolized the advertising technology market, disadvantaging competition and publishers.
The Department of Justice is urging the separation of part of Alphabet’s advertising business. It demands that the company sell its significant assets: the AdX advertising exchange and the DoubleClick for Publishers (DFP) ad server, which manages campaigns for publishers.
Google refutes the allegations
This request comes after Judge Leonie Brinkema's ruling that Google has established a monopoly in the advertising technology market, thereby stifling competition and innovation.
The DOJ contends that the firm's dominance has resulted in increased advertising costs for customers while simultaneously reducing revenue for publishers, according to reports from investing.com.
The authorities want Alphabet to first immediately divest AdX and then, in subsequent stages, divest DFP.
Google disputes the allegations of market abuse and has announced its intention to defend itself against any possible forced breakup.
