Alphabet Inc.’s Google has announced plans to appeal a federal antitrust decision that found it illegally dominated online advertising technology markets, signaling a continued legal battle over the tech giant’s business practices.
The announcement follows an April ruling by a federal judge that concluded Google maintains an unlawful monopoly in two key segments of the online ad tech ecosystem. The U.S. Department of Justice (DOJ), along with a coalition of state attorneys general, argued that Google has abused its market power, leading to reduced competition and higher costs for advertisers and publishers.
Central to the DOJ’s case is Google Ad Manager, which includes the company’s publisher ad server and ad exchange. Antitrust enforcers proposed that Google divest parts of its ad tech business, particularly Google Ad Manager, to restore competitive balance in the industry. The government believes that only a structural remedy essentially breaking up parts of the company would sufficiently resolve the issue.
However, U.S. District Judge Amit Mehta, who presided over the case in Washington, has shown some skepticism toward the most aggressive remedies. During closing arguments on Friday, he suggested alternative approaches to restoring competition that may not require such drastic measures. While his final opinion is pending, the direction of the court has sparked concern at Google, which continues to assert that the initial ruling was flawed.
“We will wait for the Court’s opinion. And we still strongly believe the Court’s original decision was wrong, and look forward to our eventual appeal,” Google stated in a post on X (formerly Twitter).
The case has major implications for the digital advertising industry and the broader regulatory landscape for Big Tech. If upheld, the DOJ’s demands could lead to a significant reorganization of Google’s business model, setting a precedent for how regulators can tackle monopolistic behavior in digital markets.
The appeal process is expected to stretch over several months or even years, during which Google will continue defending its practices. Meanwhile, lawmakers and regulators globally are watching closely, as similar investigations into tech monopolies are ongoing in Europe and other regions.