US Judge Rejects DOJ Bid to Break Up Google

WASHINGTON: A US federal judge on Wednesday rejected the government’s request to force Google to sell part of its digital advertising business, opting instead to impose rules governing the company’s conduct in the online advertising market.

US District Court Judge Leonie Brinkema declined to order the sale of Google’s advertising division, marking the second recent instance in which a federal court has rejected a government proposal to dismantle part of the technology giant.

The ruling follows a separate case in which another federal judge declined last year to require Google to sell its Chrome browser as part of a monopoly dispute involving the company’s online search business.

The cases form part of a broader effort by the US Department of Justice (DOJ) to challenge the market power of major technology companies, including Google, Apple, Amazon and Meta.

Google Ad Tech Under Scrutiny

The latest case focused on Google’s digital advertising technology, commonly known as its ad tech stack.

The system includes tools used by website publishers to sell advertising space and platforms used by advertisers to purchase digital ads.

Brinkema ruled last year that Google had deliberately monopolized the publisher ad server and ad exchange markets and had unlawfully tied the two services together.

Google has said it will appeal that underlying liability ruling.

The DOJ had sought tougher remedies, including the sale of Google’s AdX advertising auction platform and the release of key auction technology as open-source software.

Government lawyers argued that Google had gained an unfair advantage by controlling several critical parts of the digital advertising ecosystem.

Prosecutors compared Google’s position to a scenario in which Goldman Sachs owned the New York Stock Exchange, highlighting concerns over the company’s influence across multiple stages of advertising transactions.

Judge Chooses Conduct Rules

Rather than ordering a breakup, Brinkema directed the development of rules that will govern how Google operates its advertising business.

The judge’s detailed reasoning was not immediately released. Her full opinion was placed under seal for 14 days, meaning the precise restrictions Google will face remain unclear.

The court has given Google and government lawyers 30 days to submit a joint proposed final judgment.

Google welcomed the decision, with its vice president of regulatory affairs, Lee-Anne Mulholland, saying the company was pleased the court had rejected the DOJ’s proposal to break apart tools used by small businesses to reach customers.

Google had previously argued that the government’s proposed remedies amounted to excessive intervention and could hurt publishers, advertisers and consumers. The company also maintained that separating parts of its advertising technology would be technically difficult.

During closing arguments last year, Brinkema questioned how long a forced sale of AdX could take and noted that no potential buyer had been identified.

Broader Big Tech Antitrust Battle

The decision comes amid an expanding US regulatory campaign targeting the market power of the world’s largest technology companies.

Government efforts have produced mixed results in recent years, with courts delivering victories to both regulators and major technology firms in separate antitrust cases.

The latest ruling leaves Google facing new restrictions on its advertising operations while allowing the company to retain the core assets at the centre of the dispute.