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Google may face antitrust suit against AdMob deal

updated 11:10 am EDT, Mon May 3, 2010

FTC may sue Google over AdMob by next week

The Federal Trade Commission is on the verge of suing Google to block its buyout of AdMob, multiple leaks insisted today and over the weekend. Sources at both of the involved companies and close to the FTC now expect an antitrust lawsuit or preliminary injunction to be imposed by next week and possibly later this week. It would be considered a disciplinary maneuver to prevent Google from getting too much control over search.

AdMob CEO Omar Hamoui is known to have been flying to Washington to explain his business to the FTC. AllThingsD's Kara Swisher noted that Hamoui looked "haggard" and may have been under tight scrutiny by US officials. Both the FTC and and Google have been rallying support for their respective sides in anticipation of any legal action.

A lawsuit of the sort could prove a major setback for Google's mobile ad goals, as it would deny the company control of the largest mobile advertiser and would ironically have given Apple a stronger position in the space. When introducing iPhone 4.0, Apple admitted that it had bought Quattro Wireless and launched iAd as a reaction to Google's AdMob deal rather than as its own initiative.

AdMob is currently the largest mobile advertiser available and puts ads on the iPhone as well as Android, BlackBerry, Symbian and other major smartphone platforms. It would remain platform-agnostic if the deal completed rather than focus on Android.




by MacNN Staff

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Comments

  1. mtnrunner2

    Joined: Dec 1969

    -4

    Yet more government thuggery

    Contrary to what the FTC says, trade is not impeded by businesses deciding how to conduct THEIR business.

    Free trade is not defined by what losers claim makes them feel good, or how much they want to attack their competitors with antitrust law. It's defined by whether the government restricts the market or not. If not, then trade is not impeded. Money and size do not equal unjust power.

    Is anyone going to stand up for the rights of business, or are we all just going to keep sliding towards socialism? At what point will an economic emergency be big enough for someone to declare a state of emergency and seize power? Will anyone rise to object?

  1. fmlogue

    Joined: Dec 1969

    +4

    Yet more government thuggery, NOT

    So Republican President Teddy Roosevelt of "Trustbuster" fame and "The malfeasance of great wealth" was a Socialist? I think you teabaggers need a brain.

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