Yesterday, we finally got an “end” to the Google adtech antitrust case, with Google essentially “winning” its back-and-forth with the DOJ. The outcome: there will be no forced spinout of its ad exchange, AdX.
The news seemed to surprise many, but it aligned with what some had predicted. Ultimately, a structural reset appears to have been too much for Judge Leonie Brinkema, who opted instead for behavioral remedies like greater interoperability with competing products. (The full details remain sealed for two weeks.)
Why This Matters:
The news has been met with disappointment from many in the space, and understandably so. No divestiture maintains somewhat of a status quo — not ideal for competitors, for example — in the immediate term and could set a precedent for the future. What’s to stop others from operating similarly, like Amazon, for example, which is grappling with its own ad-related suit from the FTC?
Ultimately, one has to wonder if the DOJ overshot on what it wanted, as well. A structural reset is a sexy idea, but how achievable something like that actually was may have been underestimated. The predictability of keeping things relatively the same is powerful inertia.
Experts React:
Here are 20 of the best reactions we’ve seen to the news on X:
Our Take:
The breakup may not be happening, but this story is far from over as we await more specifics on the behavioral remedies. However, the general expectation is that there will be some real benefits and opportunities for Google’s competitors — like SSPs PubMatic or Magnite, for example — versus simply leaving the market exactly as it looks today.
