DOJ sues Google over its dominance in online advertising market (2023)

well, it's time to add google to the long list of tech giants that are now laying off thousands of workers after *** post pandemic slump in the market Recently, it was announced that Microsoft and amazon would be laying off 28,000 employees respectively. And Elon musk's twitter is expecting another round as well. With the company already having cut ties with over half of its staff over the last few months alone. Now, google has *** now they're expecting to lay off some 12,000 workers as well. Or what insider reports is around 6.4% of its entire global workforce alphabet Sundar Pichai Google's parent company's Ceo told staff the same thing that Microsoft did when they announced their layoffs. They over hired writing in *** memo to staff quote over the past two years, we've seen periods of dramatic growth to match and fuel that growth. We ha for *** different economic reality than the one we face today. The Ceo added that the cuts would happen all across the company at every level region and product area. All employees who are being ousted will get *** minimum 60 day severance as well as pay bonuses from 2022 vacation time. According to the dow jones US Technology index, the tech market dropped more than 35% in 2022

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DOJ sues Google over its dominance in online advertising market

(Video) DOJ sues Google over abuse of digital ad dominance

Video above: Google becomes latest tech company to announce massive layoffsThe Justice Department and eight states sued Google on Tuesday, accusing the company of harming competition with its dominance in the online advertising market and calling for it to be broken up.The move marks the Biden administration's first blockbuster antitrust case against a Big Tech company. The eight states joining the suit include California, Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee and Virginia.The fresh complaint significantly escalates the risks to Google emanating from Washington, where lawmakers and regulators have frequently raised concerns about the tech giant's power but have so far failed to pass new legislation or regulations that might rein in the company or its peers.For years, Google's critics have claimed that the company's extensive role in the ecosystem that enables advertisers to place ads, and for publishers to offer up digital ad space, represents a conflict of interest that Google has exploited anticompetitively.In Tuesday's complaint, a copy of which was viewed by CNN, the Justice Department alleged that Google actively and illegally maintained that dominance by engaging in a campaign to thwart competition. Google gobbled up rivals through anticompetitive mergers, the U.S. government said, and bullied publishers and advertisers into using the company's proprietary ad technology products.As part of the lawsuit, the U.S. government called for Google to be broken up and for the court to order the company to spin off at least its online advertising exchange and its ad server for publishers, if not more.Google, the U.S. government alleged, "has corrupted legitimate competition in the ad tech industry by engaging in a systematic campaign to seize control of the wide swath of high-tech tools used by publishers, advertisers, and brokers, to facilitate digital advertising. Having inserted itself into all aspects of the digital advertising marketplace, Google has used anticompetitive, exclusionary, and unlawful means to eliminate or severely diminish any threat to its dominance over digital advertising technologies."The suit was filed in the U.S. District Court for the Eastern District of Virginia.Tuesday's suit marks the federal government's second antitrust complaint against Google since 2020, when the Trump administration sued over Google's alleged anticompetitive harms in search and search advertising. That case is still ongoing. Google has also been the target of antitrust litigation by state and private actors.Google didn't immediately respond to a request for comment.Tuesday's complaint also marks an opening salvo against Big Tech by DOJ's antitrust chief, Jonathan Kanter. Kanter has spent months laying the groundwork for a broader offensive against the tech industry's most dominant companies, reflecting commitments by President Joe Biden and others in the U.S. government to hold powerful firms accountable. Under Kanter, Justice Department antitrust officials have pushed to bring more cases to trial as well as to prosecute cases involving unconventional legal theories.In 2020, House lawmakers released a 450-page report finding that Google, along with Amazon, Apple and Facebook, hold "monopoly power" in key business segments. The report was the result of a 16-month investigation in which congressional staff reviewed corporate documents and interviewed the tech industry's many customers and rivals. It concluded, among other things, that Google was uniquely positioned to benefit from its powerful role in the online ad industry."With a sizable share in the ad exchange market and the ad intermediary market, and as a leading supplier of ad space, Google simultaneously acts on behalf of publishers and advertisers, while also trading for itself," the report said.Third-party estimates suggest that Google and Facebook (now known as Meta) accounted for the majority of U.S. digital ad revenues until about 2017, with Google taking about a third of the market. Since then, however, others including Amazon have begun encroaching on that business.The U.S. complaint echoes concerns that have prompted similar antitrust investigations in the United Kingdom and in the European Union.

Video above: Google becomes latest tech company to announce massive layoffs

The Justice Department and eight states sued Google on Tuesday, accusing the company of harming competition with its dominance in the online advertising market and calling for it to be broken up.

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(Video) DOJ, states sue Google over digital advertising dominance | Top 10

The move marks the Biden administration's first blockbuster antitrust case against a Big Tech company. The eight states joining the suit include California, Colorado, Connecticut, New Jersey, New York, Rhode Island, Tennessee and Virginia.

The fresh complaint significantly escalates the risks to Google emanating from Washington, where lawmakers and regulators have frequently raised concerns about the tech giant's power but have so far failed to pass new legislation or regulations that might rein in the company or its peers.

For years, Google's critics have claimed that the company's extensive role in the ecosystem that enables advertisers to place ads, and for publishers to offer up digital ad space, represents a conflict of interest that Google has exploited anticompetitively.

Google cutting 12,000 jobs as tech industry layoffs widen

(Video) Civil antitrust lawsuit filed against Google, US AG Garland announces | FULL

In Tuesday's complaint, a copy of which was viewed by CNN, the Justice Department alleged that Google actively and illegally maintained that dominance by engaging in a campaign to thwart competition. Google gobbled up rivals through anticompetitive mergers, the U.S. government said, and bullied publishers and advertisers into using the company's proprietary ad technology products.

As part of the lawsuit, the U.S. government called for Google to be broken up and for the court to order the company to spin off at least its online advertising exchange and its ad server for publishers, if not more.

Google, the U.S. government alleged, "has corrupted legitimate competition in the ad tech industry by engaging in a systematic campaign to seize control of the wide swath of high-tech tools used by publishers, advertisers, and brokers, to facilitate digital advertising. Having inserted itself into all aspects of the digital advertising marketplace, Google has used anticompetitive, exclusionary, and unlawful means to eliminate or severely diminish any threat to its dominance over digital advertising technologies."

The suit was filed in the U.S. District Court for the Eastern District of Virginia.

Tuesday's suit marks the federal government's second antitrust complaint against Google since 2020, when the Trump administration sued over Google's alleged anticompetitive harms in search and search advertising. That case is still ongoing. Google has also been the target of antitrust litigation by state and private actors.

Google didn't immediately respond to a request for comment.

40 states settle Google location-tracking charges for $391.5M

(Video) US sues Google over dominance of online ad market: Justice Dept | AFP

Tuesday's complaint also marks an opening salvo against Big Tech by DOJ's antitrust chief, Jonathan Kanter. Kanter has spent months laying the groundwork for a broader offensive against the tech industry's most dominant companies, reflecting commitments by President Joe Biden and others in the U.S. government to hold powerful firms accountable. Under Kanter, Justice Department antitrust officials have pushed to bring more cases to trial as well as to prosecute cases involving unconventional legal theories.

In 2020, House lawmakers released a 450-page report finding that Google, along with Amazon, Apple and Facebook, hold "monopoly power" in key business segments. The report was the result of a 16-month investigation in which congressional staff reviewed corporate documents and interviewed the tech industry's many customers and rivals. It concluded, among other things, that Google was uniquely positioned to benefit from its powerful role in the online ad industry.

"With a sizable share in the ad exchange market and the ad intermediary market, and as a leading supplier of ad space, Google simultaneously acts on behalf of publishers and advertisers, while also trading for itself," the report said.

Third-party estimates suggest that Google and Facebook (now known as Meta) accounted for the majority of U.S. digital ad revenues until about 2017, with Google taking about a third of the market. Since then, however, others including Amazon have begun encroaching on that business.

The U.S. complaint echoes concerns that have prompted similar antitrust investigations in the United Kingdom and in the European Union.

Google mistakenly sent an engineer almost $250,000

(Video) US sues Google over dominance of online ad market

FAQs

Why is the Justice Department suing Google? ›

WASHINGTON (AP) — The Justice Department and eight states filed an antitrust suit against Google on Tuesday, seeking to shatter its alleged monopoly on the entire ecosystem of online advertising as a hurtful burden to advertisers, consumers and even the U.S. government.

Is Google being sued by the government? ›

In 2020, the Justice Department filed a civil antitrust suit against Google for monopolizing search and search advertising, which are different markets from the digital advertising technology markets at issue in the lawsuit filed today. The Google search litigation is scheduled for trial in September 2023.

What company has the largest class action lawsuit? ›

Number 1: The 1998 Tobacco Master Settlement Agreement

There is no doubt about the biggest-ever class action settlement. The 1998 Tobacco Master Settlement Agreement is also the biggest civil litigation settlement in US history. At USD246 billion, it is unlikely to be beaten any time soon.

What did Google get in trouble for? ›

The Justice Department and a group of eight states sued Google on Tuesday, accusing it of illegally abusing a monopoly over the technology that powers online advertising, in the agency's first antitrust lawsuit against a tech giant under President Biden and an escalation in legal pressure on one of the world's biggest ...

What does the justice department say Google did illegally? ›

A worker walks along a path at Googles Bay View campus in Mountain View, Calif., on June 27, 2022. The Justice Department and eight states on Tuesday filed a lawsuit against Google over its digital advertising business, claiming the tech giant illegally monopolizes the market for online ads.

Can government access your Google account? ›

Does Google give governments direct access to user information? No, we require that requests for user information be sent to Google directly and not through any sort of "back door" direct access by the government.

Does Google sell my information to the government? ›

We never sell people's personal information and we have strict policies specifically prohibiting personalized ads based on sensitive categories,” Google spokesperson José Castañeda told the San Francisco Chronicle in May.

Is it a good idea to join a class action lawsuit? ›

In most cases, it is a good idea to join the class action if you believe you suffered injuries or financial losses caused by the defendant. We do recommend you give us a call and discuss your situation with one of our class action lawsuit attorneys before you make a decision, however.

What is the longest running lawsuit in US history? ›

Lasting for more than fifty years, the Myra Clark Gaines litigation is known as the longest case in US history, beginning around 1834 and culminating in a ruling in her favor and against the City of New Orleans in 1889.

What happens to leftover money from a class action lawsuit? ›

Sometimes, leftover money might be distributed among class members or donated as a cy-pres award. In simplest terms, the cy-pres doctrine means a court will order the funds to be redistributed to a charity or another organization that aligns with the issue at hand with the class action lawsuit.

What is the biggest mistake of Google? ›

Google's Biggest Mistakes From The Past 17 Years
  1. 1 – Google's A Little Bit Racist.
  2. 2 – Investing In AOL. ...
  3. 3 – Google Wave. ...
  4. 4 – Neglecting Content Owners. ...
  5. 5 – Underestimating Facebook. ...
  6. 6 – Overlooking Twitter When It Was Cheap. ...
  7. 7 – Failing To Buy Groupon. ...
  8. 8 – Google Answers. ...
Jun 29, 2015

Is there a class action lawsuit against Google? ›

Consumers in a 12-year-long class action lawsuit against Google say that Google shared their queries with third parties without their permission.

Who won the Google lawsuit? ›

WASHINGTON — Google agreed to a record $391.5 million privacy settlement with a 40-state coalition of attorneys general on Monday for charges that it misled users into thinking they had turned off location tracking in their account settings even as the company continued collecting that information.

Does Google share data with law enforcement? ›

Government agencies from around the world ask Google to disclose user information. We carefully review each request to make sure it satisfies applicable laws. If a request asks for too much information, we try to narrow it, and in some cases we object to producing any information at all.

What argument represents one of the biggest complaints about the search engine Google? ›

The DOJ considers Google search to be a monopoly in the US, where nearly 90 percent of internet searches are through Google. The complaint says that Google is illegally trying to maintain its dominance through anticompetitive practices.

Can you go to jail for searching something on Google? ›

On that note, your internet searches alone typically will not get you in trouble with the police. It is perfectly legal to search anything online in most cases, but if those searches are linked to a crime or potential crime, you could get arrested. From there, you could get taken into custody and interrogated at best.

Is the government watching my Google searches? ›

The US federal government is secretly ordering Google and other search engines to track and provide data on anyone who searches certain terms through “keyword warrants,” according to a new report.

Do police monitor Google searches? ›

While police do not actively monitor Google searches, they are able to obtain a warrant for your search history if they have probable cause to do so.

Can police track deleted Google account? ›

It is best to assume that even though a Gmail account has been deleted, there is still a chance that the police will be able to obtain it through a request to Google, who will then have to retrieve that information from their servers and present it to the police.

Can I sue Google for invasion of privacy? ›

That includes most state law tort claims, including defamation, false advertising, unfair competition, invasion of privacy, and intentional infliction of emotional distress. The legal reality is that Google generally cannot be held liable for objectionable content that appears in its search results.

Does Google sell data to China? ›

We never sell your personal information

Your personal information is not for sale. While advertising makes it possible for us to offer products free of charge and helps the websites and apps that partner with us fund their content, we do not sell your personal information to anyone.

Does Google invade my privacy? ›

Google tracks and records your every move, including the location data of your photos. That means someone could pinpoint precisely where you were standing when you took a picture. It's pretty invasive.

Why is Google being investigated? ›

EU regulators opened an investigation into Google's lucrative digital advertising business to examine whether it favors Google's own business over rivals, advertisers and online publishers.

What law was violated by Google? ›

The BEUC filed a complaint against Google in November saying Google lacked valid consent and a valid legal basis to collect users' tracking data.

What are Google and Facebook being accused of? ›

Lawsuit claims Facebook and Google CEOs were aware of deal to control advertising sales. Facebook CEO Mark Zuckerberg and Google CEO Sundar Pichai were allegedly aware of and approved a deal to collaborate on the potential manipulation of advertising sales, according to newly revealed documents.

Why is Google being fined? ›

What anti-competitive practices has Google been fined for? The CCI had fined Google Rs 1,337.76 crore a week ago for abusing its dominant market position in the Android ecosystem, based on an investigation that the watchdog had started three-and-half years ago.

Can the FBI see Google searches? ›

Do the police monitor Google searches? While police do not actively monitor Google searches, they are able to obtain a warrant for your search history if they have probable cause to do so.

What does the Justice Department say Google did illegally? ›

A worker walks along a path at Googles Bay View campus in Mountain View, Calif., on June 27, 2022. The Justice Department and eight states on Tuesday filed a lawsuit against Google over its digital advertising business, claiming the tech giant illegally monopolizes the market for online ads.

What did Google do that was unethical? ›

Criticism of Google includes concern for tax avoidance, misuse and manipulation of search results, its use of others' intellectual property, concerns that its compilation of data may violate people's privacy and collaboration with the US military on Google Earth to spy on users, censorship of search results and content ...

When did the Justice Department sues Google? ›

What's behind the Justice Department's antitrust lawsuit against Google? The Department of Justice's landmark antitrust case against Google, originally filed in 2020, has started to heat up.

Can I sue Google for harassment? ›

Yes, you can sue Google, but only in rare situations. Under federal law, Google cannot be held legally responsible for content posted by third parties. This is called immunity. But Google's immunity is not unlimited.

What is Jedi Blue Deal? ›

Jedi Blue is the name of an agreement between Alphabet and Meta Platforms that allegedly gave Facebook an illegal advantage in Google's ad auctions in exchange for Facebook's word that it would end its own ad service plans.

Can the police access your Facebook? ›

For example, every time someone posts information publicly, either on their personal page or in public groups, that information can legally be used in criminal investigations. There is no subpoena required for accessing public data like this.

Did Google lose the lawsuit? ›

Google, a unit of Alphabet, has agreed to pay $391.5 million in settlement related to location tracking allegations by 40 states.

Why did CCI impose fine on Google? ›

The Competition Commission of India (CCI) imposed a penalty of ₹936.44 Crore on Google yesterday. The tech giant was found guilty of busing its market position on Play Store to promote its payments app and in-app payment system.

Why does CCI impose penalty on Google? ›

Why in News? Recently, the Competition Commission of India (CCI) has imposed a penalty of Rs. 936.44 crores on Alphabet-owned Google for “abusing its dominant position” in markets related to the Android mobile device ecosystem.

Videos

1. U.S. Justice Department addresses antitrust litigation against Google's advertising tech
(CNBC Television)
2. DOJ Files Landmark Antitrust Suit Against Google Over Online Search Dominance
(Bloomberg Quicktake: Now)
3. Google faces new US lawsuit over online advertising practices
(FRANCE 24 English)
4. DOJ files antitrust case against Google
(KSDK News)
5. Why Google Is Being Sued by the Justice Department | WSJ
(Wall Street Journal)
6. Fmr. U.S. chief tech officer discusses antitrust lawsuit against Google
(CNBC Television)
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