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DOJ was hours from filing Google Anti Trust suit

Google was about to be slapped with an Anti Trust lawsuit from the DOJ

     

zuko105

3:48 pm on Dec 4, 2008 (gmt 0)

10+ Year Member



From CNET:
It is widely known that Google pulled the plug on the search advertising deal with Yahoo only because it appeared that it would face a regulatory challenge. However, it emerged on Wednesday just how close the company came to facing an antitrust suit from the U.S. Department of Justice.

Story:
[news.cnet.com ]

Looks like they were forced out of the deal after all.

[amlawdaily.typepad.com...]

Google Inc. and Yahoo! Inc. called off their joint advertising agreement just three hours before the Department of Justice planned to file antitrust charges to block the pact, according to the lawyer who would have been lead counsel for the government.

[edited by: Brett_Tabke at 4:24 pm (utc) on Dec. 4, 2008]
[edit reason] added link to source. [/edit]

engine

3:55 pm on Dec 4, 2008 (gmt 0)

WebmasterWorld Administrator engine is a WebmasterWorld Top Contributor of All Time 10+ Year Member Top Contributors Of The Month Best Post Of The Month



Interesting how close that came.

Such a legal battle would have been costly in time, money and share price. Shrewd move by Google, imho.

skibum

4:51 pm on Dec 4, 2008 (gmt 0)

WebmasterWorld Administrator skibum is a WebmasterWorld Top Contributor of All Time 10+ Year Member



Would have been interesting to see how far they would have dug into anti-trust and what otehr findings may have come out of it.

Shaddows

5:02 pm on Dec 4, 2008 (gmt 0)

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If the DoJ got involved, do you think Search (being inherently non-monetised) would be a market you could be considered monopolistic in? And if so, would G be abusing their position by only allowing adwords to use their advertising space?

physics

8:28 pm on Dec 4, 2008 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Here's a question: if Microsoft were under fire here instead of Google, would they have backed down?

Shaddows

9:16 pm on Dec 4, 2008 (gmt 0)

WebmasterWorld Senior Member 5+ Year Member



Nah, MS rarely back down. Thats why they got such a bad reputation- they were swallowing a multi-million (dollar/pound/euro- take your pick) DAILY fine about publishing "complete and accurate technical specifications" and still fighting.

G still enjoys public affection. It would be seriously bad for them to lose this publically annointed halo. MS never cared what people thought of them- as long as people BOUGHT their product, by hook or by crook

kaz

1:39 am on Dec 5, 2008 (gmt 0)

10+ Year Member



It would have ended up also alleging that Google had a monopoly and that [the advertising pact] would have furthered their monopoly," Litvack says

Hmmm. Google had already reached monopoly status without this deal.

That seems like the real news/reason here to me.

potentialgeek

7:26 am on Jan 5, 2009 (gmt 0)

WebmasterWorld Senior Member 5+ Year Member



Cool move, G-men!

(Nothing would have hit G's street cred like an anti-trust l/s.)

p/g

 

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