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Google abusing power over website ads, UK regulator says
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Google abusing power over website ads, UK regulator says
Sep 6, 2024 1:25 PM

LONDON, Sept 6 (Reuters) - Britain's antitrust regulator

said on Friday it had provisionally found Alphabet's

Google had abused its dominant position in digital advertising

to restrict competition.

The Competition and Markets Authority (CMA) said it believed

Google was using anti-competitive practices in open display ad

tech through the preference of its own ad exchange, which could

be harming thousands of British publishers and advertisers.

"We've provisionally found that Google is using its

market power to hinder competition when it comes to the ads

people see on websites," said Juliette Enser, the CMA's interim

executive director of enforcement.

"Many businesses are able to keep their digital content

free or cheaper by using online advertising to generate revenue.

Adverts on these websites and apps reach millions of people

across the UK - assisting the buying and selling of goods and

services."

Google said it disagreed with the CMA's view and would

respond accordingly.

"Our advertising technology tools help websites and apps

fund their content, and enable businesses of all sizes to

effectively reach new customers," said Google's VP of Global Ads

Dan Taylor.

"Google remains committed to creating value for our

publisher and advertiser partners in this highly competitive

sector. The core of this case rests on flawed interpretations of

the ad tech sector."

The U.S Department of Justice and the European

Commission are also investigating Google's activities in ad

tech.

In June 2023, EU regulators said Google may have to sell

part of its adtech business to address its concerns. Google said

in December

that such a step would be "disproportionate".

The CMA said it had provisionally found that since at

least 2015 Google had been abusing its dominance on both the

buying and selling sides of the advertising supply chain to

favour its own ad exchange AdX in matching auctions.

It said it would now consider representations from

Google before reaching a decision on what action it would take.

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