The Justice Department has suggested that Google needs to divest two of its digital advertising divisions, presenting this argument in a court filing last month after determining that the tech giant has been maintaining an unlawful monopoly in technology.
In documents submitted late Monday in a Virginia federal court, the government emphasized that Google must quickly sell off its ad exchanges or its internal advertising marketplace that links advertisers.
The DOJ proposed that under a “phased sale,” Google, run by CEO Sundar Pichai, should sell its DFP Publisher AD servers, which are essential for websites to organize and manage their digital advertising assets.
This divestiture would need oversight from officials appointed by the court, with the DOJ retaining the ability to approve or deny prospective buyers.
The filing emphasized that these remedies are crucial to dismantle Google’s monopoly, rectify the consequences of its violations, foster competition within the ad server market, and avert similar occurrences in the future.
Last month, U.S. District Judge Leonie Brinkema set a trial date for September 22 to discuss potential remedies following a ruling that Google’s monopolies had significantly harmed a customer.
The DOJ’s detailed requirements come after an attorney hinted last week that they may request the judge to mandate a separation.
Federal attorney Julia Turber Wood indicated this forced sale would likely extend over several years.
Additionally, the Justice Department noted that Google would need to make its other advertising products accessible for third-party tools on fair terms concerning bidding, ad placement, and information sharing—barring specific advertising directives.
The judge will ultimately decide the procedures Google must follow to rectify its unlawful operations.
Disassembling these divisions could disrupt the most lucrative areas of Google’s business, as its parent company, Alphabet, reported about $350 billion in revenue for 2024.
Google has indicated plans to appeal, contending that the DOJ’s suggested remedies are overly severe. Lawyers for the company argue that enforced sales might exceed legal permissions.
Lee-Anne Mulholland, Google’s Vice President, noted in a blog post that the DOJ’s demands exceed the narrow court ruling by insisting on the sale of Google Ad Manager.
She expressed concerns that this could potentially hinder advertisers from effectively connecting with publishers and reaching their target audiences, while also impacting apps and video publishers that rely on these tools for monetization.
Google has shown some willingness to engage in behavioral therapy, which includes sharing pertinent advertising data with competitors.
In another ongoing case, Google faces potential divestiture after a ruling by U.S. District Judge Amit Mehta found that the company held an unlawful monopoly over online search.
The DOJ is also pushing for the sale of Google’s Chrome web browser and is seeking to compel the company to share data with its rivals. A final decision from Judge Mehta in this matter is anticipated by August.
