Google has just learned the fate of its ad business. A federal judge, Leonie M. Brinkema of the Eastern District of Virginia, ruled that Google can keep its advertising business.
Google does not have to sell its ad business, but it must change how it operates
Google will not be forced to sell its ad business, but it will be required to adjust its business practices to favor competitors. However, the judge did not provide the specifics, at least not yet.
It is said that Brinkema’s full written ruling is coming, but it’s remaining under seal for 14 days. Why? Well, to allow those involved to issue necessary redactions.
Do note that Brinkema’s initial ruling was made in April last year. Back then, the judge ruled that Google acted illegally in maintaining its ad-tech business. This new ruling is basically related to remedies on Google’s part. The company lost the trial last year, essentially.
The company is pleased with the outcome
Google’s vice president of regulatory affairs, Lee-Anne Mulholland, told TechCrunch the following: “We’re very pleased the Court rejected the DOJ’s proposal to break apart tools that help small businesses reach new customers and grow.”
So, Google seems to be pleased with the outcome here, despite losing the trial. That’s not surprising, as the fact that the company doesn’t have to sell its ad-tech business is a huge win for Google. That’s the company’s bread and butter, basically.
As a reminder, Google used exclusive agreements with device manufacturers to keep Google the default search engine, and thus help its cause. That was a huge part of the government’s case against Google. It helped Google dominate the market.
On top of that, Google also had revenue-sharing deals with mobile carriers. In those deals, carriers earned a cut of ad revenue in exchange for keeping Google the default search engine. All that helped Google’s ad business bloom.
We’ll get the full remedy details in the near future
In the near future, we’ll find out what the exact remedies are. We’ll get that info once the aforementioned 14 days have passed.
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