Online Ad Wars
Via Ars Technica, Google’s acquisition of online advertising company AdMob is not sitting well with the Federal Trade Commission:
According to people “familiar with the matter” speaking to the Wall Street Journal, the FTC has sent letters asking AdMob’s competitors to testify about the impact of the purchase and has briefed members of Congress on its concerns. The Commission has also put together a litigation team “to prepare for a possible effort to block the deal,” though a final decision has not yet been made.
At issue is Google’s dominance in the online advertising market. But as All Things Digital reports, a rumored entry into online advertising by a Google rival may help soothe things over with the FTC:
Apple is likely to introduce its mobile ad platform Thursday at its iPhone developer event, say sources familiar with the company’s plans. Expect to hear a loud cheer from Google, Apple’s former ally and current competitor.
Why would Google applaud the entrance of a new advertising rival? Because Google is trying to convince federal regulators that it has advertising rivals so that it can proceed with its $750 million purchase of AdMob. That deal is being held up for review by the Federal Trade Commission, and there have been consistent murmurs from Washington that the purchase could be in jeopardy.


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