Google faces FTC probe over AdMob deal
The US Federal Trade Commission is to challenge Google’s acquisition of AdMob on antitrust grounds, according to reports.
The mobile-advertising firm makes technology for serving display ads on mobile websites and apps, and was acquired by Google in November in a $750 million deal. AdMob is one of the largest in its field, with 15,000 mobile sites and apps on its network.
According to the Wall Street Journal a team of lawyers has been assembled by the FTC to challenge the acquisition, and competitors of AdMob have been contacted and asked to testify on the potential impact the deal could have on the competitiveness of the market. The FTC has also reportedly briefed Congress on its planned suit.
“While were continuing to work with the FTC, there is overwhelming evidence that mobile advertising will remain competitive after this deal closes,” a spokesperson from Google said.
“Mobile app advertising is less than two years old, there are more than a dozen mobile ad networks, app developers and advertisers routinely use multiple networks, and the leading mobile app platform, Apple, is now entering the mobile ad space as well.”
Google is also facing scrutiny from the US Department of Justice over its attempts to digitise and catalogue books online.
In Europe, the search giant is facing an EU investigation into its ranking of results and its online advertising procedures, after a number of firms complained about its practices.