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texas leads ten states in lawsuit over google’s ad business

AVATAR Taylor Hatmaker
Taylor Hatmaker
Culture Editor, TechCrunch
December 16, 2020
texas leads ten states in lawsuit over google’s ad business

The state of Texas declared on Wednesday its intention to file a lawsuit against Google, alleging the technology company is operating an unlawful monopoly within the digital advertising sector. According to reports from Reuters, Texas will be supported in this legal action by Arkansas, Indiana, Kentucky, Missouri, Mississippi, South Dakota, North Dakota, Utah, and Idaho. The announcement was initially made through a video released by Texas Attorney General Ken Paxton, and the official court document is now publicly accessible.

“Google has unfairly removed its rivals from the market and established itself as the dominant force in online advertising,” stated Paxton. He contends that Google’s methods in advertising and what he describes as “anti-competitive behavior” grant the company excessive influence over the digital advertising landscape, negatively impacting content creators and publishers.

Attorney General Paxton may be a recognizable name. He previously spearheaded a recent legal challenge contesting the presidential election results in Georgia, Pennsylvania, Michigan, and Wisconsin, acting on behalf of the state of Texas. However, the Supreme Court swiftly dismissed this case, citing a lack of legal standing for the state to bring the suit. Paxton is also currently facing an FBI investigation regarding allegations of bribery, which contributes to his controversial standing as the leader of this current undertaking.

This legal challenge from the group of states follows the Justice Department’s own antitrust lawsuit against Google, filed two months prior. The DOJ’s case centers on “anti-competitive and exclusionary tactics” within the company’s search engine and advertising operations.

Just last week, a coalition of 46 states initiated a lawsuit against Facebook, raising similar antitrust issues. Texas is also involved in this suit, which claims Facebook established a monopoly through aggressive business strategies, including the acquisition of competing companies. The Federal Trade Commission (FTC) also filed a lawsuit against Facebook last week, asserting the company holds monopolistic power and that its purchases of Instagram and WhatsApp should be reversed.

#Google lawsuit#antitrust#digital advertising#Texas#ad tech#competition

Taylor Hatmaker

Taylor previously reported on topics including social media, the gaming industry, and cultural trends while working at TechCrunch.
Taylor Hatmaker