Does GougleClick violate antitrust?
By Richard Koman - April 15, 2007
Google's wowser $3.1 billion bid for DoubleClick - announced Friday after the markets closed - has Microsoft pissed off. Redmond wants the government to consider the antitrust implications of the largest contextual advertising player owning the leading company in display ad online placement, The Times will report tomorrow.
Microsoft GC Brad Smith said the deal would “substantially reduce competition in the advertising market on the Web.”
AT&T joined the antitrust call, with public affairs VP Jim Cicconi saying, “For many of these new Web services, it could be that the advertising-supported model is the predominant business model,” he said. “The danger here is that Google could be in a position to pick winners and losers.”
That's rich, considering that's exactly what the net neutrality bills that AT&T (nee SBC) fought so hard against last year.
So how about the merits of the antitrust assertion? Google will most likely get its way, said law professor Andrew Gavil.
Any review of a merger on antitrust grounds begins with a determination of the “relevant market” in which the two companies operate. “That is the first hurdle in case like this,” said Andrew I. Gavil, a law professor at Howard University, “and it looks as if DoubleClick may well be in a nearby, or complementary, market instead of the same market as Google. And then the question will be how easy it is for new entrants to compete in the online advertising markets.”
« In Perfect 10 decision, court may have given support to Google | Main | Yoono: A Standout in the Web 2.0 Crowd »
Posted to NewsWatch
April 15, 2007 | Permalink | Comment | Subscribe to SVW
- Top Stories:
- Silicon Valley Goes To Paris... Le Web '09
- Turkey's Search Engine And The Backlash Against The Internet's 'Wal-Marts'
- A Saturday Post: Media In Crisis: I'm Thankful For Being Here Right Now...
- Guest Post: Social Media Marketing is Swiss Cheese
- A Single Search Index Would Speed Up The Entire Internet - A Zero Carbon Speed Boost
- The Dark Matter Of Internet Commerce - A Towering Pile of Scams - $1.4Bn And Counting...
- Groovy: Real-Time Data Could Aid Media Companies
- Tech Awards For Humanity: "Cash Prizes" Galore And Al Gore's Meaningless Speech . . . And Amazing Laureates!
- The Death Of The Search Algorithm? Techmeme Has Six Editors
- TEDxSF - Little TED Just Like The Big TED
- What's Next? Beyond Real-Time...
- PearlTrees: A Novel Approach To Human Mapping Of The Internet