Competition Bureau sues Google over alleged anti-competitive conduct in online advertising

Canada’s Competition Bureau has filed a lawsuit against Google, accusing the company of anti-competitive practices in the online advertising sector, the watchdog announced on Thursday.

The bureau submitted an application to the Competition Tribunal, requesting that Google be ordered to sell two of its advertising technology tools. Additionally, it is seeking a financial penalty to ensure compliance with Canada’s competition laws, according to its statement.

Google responded by denying the allegations, stating that the complaint overlooks the competitive nature of the online advertising industry. “Ad buyers and sellers have plenty of choice, and we look forward to making our case in court,” said Dan Taylor, Google’s vice-president of Global Ads. He added, “Our advertising technology tools help websites and apps fund their content and enable businesses of all sizes to effectively reach new customers.”

The bureau began investigating Google to determine whether its practices harm competition in the online advertising industry. Earlier this year, the probe was expanded to include the company’s ad tech services. The investigation concluded that Google is the largest provider of ad tech services in Canada and has allegedly “abused its dominant position through conduct intended to maintain and entrench its market power.”

This case follows a similar effort by the U.S. Department of Justice (DOJ), which has accused Google of monopolizing markets for publisher ad servers and advertiser ad networks. Google has defended itself in the U.S. case, arguing that its business practices are legitimate and that the online advertising market remains highly competitive. The company has also claimed that the DOJ’s case selectively focuses on a narrow segment of the market, ignoring broader competition.

Closing arguments in the U.S. lawsuit were made earlier this week.