Google's business model relies largely on advertising. But a landmark US ruling is challenging this structure. A forced separation could soon become a reality.
For several years, the US authorities have been increasing their actions against the digital giants. Accused of anti-competitive practices, some groups like Amazon, Apple, and Meta have already had to adjust their operations. But in this legal battle, one name comes up more often than the others: Google. And this time, it's its core business that's being directly targeted. The advertising sector represents a major portion of its revenue, with billions generated each quarter.
According to Reuters, the U.S. Department of Justice (DOJ) wants to force Google to divest two key platforms in its advertising ecosystem: AdX, the marketplace where advertisers bid to display their ads, and DFP, the ad campaign management tool. This project follows a federal court ruling that found the company guilty of deliberately maintaining a monopoly position in the online advertising market. According to the court, this situation stifles competition and prevents smaller players from existing. Dismantling Google's advertising business is now a serious option. Judge Leonie Brinkema ruled that Google knowingly locked out market access by controlling supply, demand, and management tools. The Justice Department is therefore proposing a radical measure: forcing the company to sell AdX and DFP. The goal is to restore fair competition in a market where the latter captures a massive share of revenue. A hearing is scheduled for Friday to hear proposals from both parties. This case could become a precedent in the regulation of web giants.
Google is contesting the request, claiming that a breakup is not legally justified. In return, the company says it is willing to consider alternatives, such as opening its real-time bidding systems to competitors. But if the sale of its tools is imposed, it would be a first in the modern history of digital regulation. It would mark a major turning point in the functioning of the global advertising market, and in the power of regulators in the face of technological monopolies.
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