Google has offered to make several concessions to stave off a possible Department of Justice (DOJ) antitrust lawsuit tied to its ad-tech business, The Wall Street Journal (WSJ) reported Friday (July 8).
The tech giant has proposed dividing portions of its business that auctions and puts ads on apps and websites into a separate company under the Alphabet umbrella, according to the report. The new company could be valued in the tens of billions, depending on its assets.
The federal government has been carrying out a lengthy probe into claims that Google has overstepped its boundaries in its role as a broker and auctioneer of digital ads, driving business to itself and away from its rivals.
The DOJ is readying a lawsuit — one that could come this summer — alleging the company’s ad-tech practices are anticompetitive, the report stated.
“We have been engaging constructively with regulators to address their concerns,” a Google spokesperson said in a statement, per the report. “As we’ve said before, we have no plans to sell or exit this business. Rigorous competition in ad technology has made online ads more relevant, reduced fees, and expanded options for publishers and advertisers.”
Last month, Google offered to let rival ad intermediaries place advertisements on its YouTube as a way of ending a European antitrust investigation.
Read more: Apple, Google, Meta Offer Commitments to End EU Probes
The European Commission began its investigation last year to determine whether the world’s largest provider of search and video had given itself an unfair edge in digital advertising by barring rivals’ and advertisers’ access to user data.
The same week, France’s antitrust watchdog approved commitments made by Facebook owner Meta Platforms to allow regulators access to advertising inventories and campaign data.
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