PubMatic Sues Google: Adtech Monopoly Lawsuit

PubMatic Sues Google Over Alleged Ad Tech Monopoly

PubMatic, an advertising exchange, has initiated legal action against Google, alleging the tech company’s unlawful monopolization of the advertising technology sector.

According to a Bloomberg report, PubMatic is pursuing substantial financial compensation, potentially amounting to billions of dollars, as a result of Google’s actions.

Second Lawsuit Following Prior Ruling

This legal challenge represents the second instance of an advertising exchange filing a lawsuit against Google following a federal court decision in April.

The previous ruling determined that Google had engaged in illegal monopolistic practices concerning ad exchanges and ad servers.

A further trial is scheduled for this month to ascertain whether Google will be compelled to divest portions of its advertising operations due to this unlawful behavior.

PubMatic's Motivation Beyond Financial Gain

Rajeev Goel, CEO of PubMatic, emphasized that the lawsuit’s objectives extend beyond mere monetary recovery.

He stated the company aims to guarantee the proper functioning of online advertising marketplaces.

Innovation Hindered by Google's Practices

“For years, despite our best innovations, a significant obstacle consistently impeded our progress,” Goel explained to Bloomberg.

“This impediment wasn’t a limitation of our technology, but rather Google’s illegal monopoly.

Every time we adapted or introduced new features, Google devised new methods to unfairly influence the market.”

Direct Competition with Google Ad Manager

PubMatic collaborates with websites to facilitate advertising sales, directly competing with Google Ad Manager (previously known as DoubleClick).

Testimony presented during Google’s antitrust trial last year revealed that the company evaluated the possibility of acquiring PubMatic in 2011.

Ultimately, however, Google opted to purchase advertising technology firm Admeld instead.