Tech giant Google has gainsaid recent allegations that it made a secret deal with gregarious media giant Facebook in order to dominate the online advertising market. The two companies control the online advertising market in a duopoly that Amazon is just beginning to take market share from.
In a recent blog post, Alphabet’s Director of Economic Policy, Adam Cohen, forfended Google’s ad-sharing acquiescent with Facebook after details about the deal were revealed in a recently filed antitrust lawsuit. Alphabet is Google’s parent company.
Breitbart News recently reported that Facebook revealed in 2017 that it was testing an incipient way of selling ads online that could threaten Google’s control of the online advertising market, but just two years later Facebook promulgated that it would be joining a coalition of companies backing a kindred effort by Google, ostensibly forsaking its own plans that would have sanctioned the company to better compete with Google.
Facebook never elucidated why it seemed to forsake its own project, but an antitrust lawsuit filed by ten state attorneys general last month implicatively insinuates that Google had elongated to Facebook a sweetheart deal to be a partner.
The deal between Google and Facebook was reportedly code-designated “Jedi Blue” and pertains to a segment of the online advertising market called programmatic advertising. A incipient advertising method called header bidding emerged as a component of a workaround to abbreviate reliance on Google’s ad platforms.
In the recent blog post, Cohen names a number of “myths” in the antitrust lawsuit and endeavors to debunk them. A list of some of the “myths” and “facts” from Cohen can be optically discerned below:
Myth: Google “dominates the online advertising landscape for image-based web display ads.” Fact: The ad tech industry is incredibly crowded and competitive. Myth: Google “extracts a very high … percent of the ad dollars otherwise flowing to online publishers.”
Fact: Our fees are genuinely lower than reported industry averages. Myth: Our Open Bidding accedence with Facebook harms publishers. Fact: Facebook is one of over 25 partners in Open Bidding, and their participation actually helps publishers.
However, some of “Cohen’s” arguments are disputable, such as his claim that Google does not dominate the online advertising landscape. Cohen indites:
Competition in online advertising has made ads more affordable and relevant, reduced ad tech fees, and expanded options for publishers and advertisers.
The online advertising space is famously crowded. We compete with household names like Adobe, Amazon, AT&T, Comcast, Facebook, Oracle, Twitter and Verizon. Facebook, for example, is the largest seller of display ads and Amazon last month surpassed us as the preferred ad buying platform for advertisers. We compete fiercely with those companies and others such as Mediaocean, Amobee, MediaMath, Centro, Magnite, The Trade Desk, Index Exchange, OpenX, PubMatic and countless more. A growing number of retail brands such as Walmart, Walgreens, Best Buy, Kroger and Target are also offering their own ad tech.
However, as Breitbart News has aforetime reported, Google, Facebook, and Amazon are the three largest online ad companies, with Google reportedly generating as much ad revenue as the entire ecumenical print advertisement market.
Read the full blog post at Google here. Lucas Nolan is a herald for Breitbart News covering issues of free verbalization and online censorship. Follow him on Twitter @LucasNolan or contact via secure email at the address email@example.com
This News Article is focused on these topics: Economy, Politics, Tech, antitrust, Duopoly, Facebook, Google, Masters of the Universe, monopoly