State attorneys general have separate probes into Google, and
the U.S. House of Representatives Judiciary Committee has
ongoing investigations into Google, Amazon.com Inc <AMZN.O>,
Facebook Inc <FB.O> and Apple Inc <AAPL.O>.
The department has requested information by the end of June from
companies concerned about Google's abuse of its advertising
clout, as well as those with data that could be used to support
a complaint against Google, the sources said, noting that the
deadline could be extended.
They did not say what the complaint would allege.
Justice Department officials and some state attorneys general
will hold a virtual meeting on Friday to discuss the probe, a
person briefed on the matter said.
Google, which provides free web searches, email and other
services, makes money through advertising. Google controls a
third of the world's online ad spending but 90% of the market
for some ad tech tools. This includes Google Ad Manager,
software that publishers use to sell space for display ads.
Google has also been accused of abusing its dominance of
Android, its smartphone operating system. Platforms such as Yelp
say Google favors its own products in search results.
The Justice Department declined to comment. Google had no
immediate comment.
The dozens of state attorneys general led by Texas which are
also investigating Google will certainly be asked to join the
federal lawsuit, and many will likely do so, one of the sources
said.
"They're not joined at the hip but there is a lot more
coordination," the source said.
Google's defenders, like Washington-based tech trade group
NetChoice whose members include Alphabet, say digital ad prices
have fallen sharply in the past decade as competition has
increased.
The state attorneys general focusing on Google are considering
going after the company for privacy lapses by using statutes
that bar deceptive practices, according to one source.
State laws barring unfair and deceptive practices can be
interpreted broadly and sometimes carry heavy financial
penalties, especially if the number of violations is large.
Arizona and New Mexico already have sued Google over allegedly
deceptive privacy practices this year, seeking $10,000 and
$5,000 respectively per violation of their state statutes.
The government's probes of Google bear striking similarities to
its probe of Microsoft Corp <MSFT.O> in the 1990s when it
provided the dominant operating system. Like Microsoft, Google
was first investigated by the Federal Trade Commission. In both
instances, the Justice Department and the states then began
their probes.
The Justice Department won a trial against Microsoft in 1998
which was overturned on appeal and remanded. The two sides
settled in 2001.
(Reporting by Diane Bartz and Paresh Dave; Editing by Richard
Chang)
[© 2020 Thomson Reuters. All rights
reserved.] Copyright 2020 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|