US accuses Google of illegal methods to push up ad prices (www.reuters.com)
from bathalumang_peppa@lemmy.world to technology@lemmy.world on 05 Oct 2023 05:57
https://lemmy.world/post/6323611

#technology

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autotldr@lemmings.world on 05 Oct 2023 06:00 next collapse

This is the best summary I could come up with:


WASHINGTON, Oct 4 (Reuters) - A lawyer for the U.S. Justice Department pressed a Google executive on Wednesday about techniques the search and advertising giant used to push up online advertising prices in an allegedly unfair way.

Testifying at a once-in-a-generation antitrust trial in Washington where the United States has accused Google of abusing its dominance of search and some advertising, Google executive Adam Juda said the company uses a formula, which includes the quality of an ad, to decide who wins auctions that are used to place advertising on websites.

Justice Department attorney David Dahlquist asked Juda if he agreed with a document that Google had prepared for the European Union, which said that the company can “directly affect pricing through tunings of our auction mechanisms.”

Juda said one thing that can be “tuned” is a rough formula that gives an ad a long-term value, or LTV, based on the bid given, the potential click-through rate or how many people will likely click on it and the quality of the advertisement and website associated with it.

Dahlquist asked Juda if they had introduced changes to ad sales in a way that raised the cost-per-click by a consumer that advertisers pay.

But Wendy Waszmer, a lawyer for Google, asked Juda on Wednesday afternoon on if there were ways that his ads quality team could raise prices unilaterally.


The original article contains 349 words, the summary contains 227 words. Saved 35%. I’m a bot and I’m open source!

Jessvj93@lemmy.world on 05 Oct 2023 06:53 next collapse

Cool story, ngl I think Jedi Blue is a blacklisted phrase on Reddit, it’s not talked about at all and discussion is suppressed. I thought the case went away, but I think it got bundled into the bigger antitrust case. Fuck Google

TWeaK@lemm.ee on 05 Oct 2023 07:48 next collapse

More interesting is what came out during the deposition: Google straight up changes your search terms to give you results that trigger paid advertisements. Eg if you search for “children’s shirts” it will swap for “[brandname] shirts” and show you ads for that brand.

Maestro@kbin.social on 05 Oct 2023 08:16 next collapse

If the ads were targeted to people searching for [brandname] then that would be straight up illegal. Companies would have a slam dunk case in court.

TWeaK@lemm.ee on 05 Oct 2023 09:15 collapse

That’s the thing though, proving it would be next to impossible.

BeefPiano@lemmy.world on 05 Oct 2023 11:16 collapse

A subpoena would do the trick. Their employees aren’t going to jail for obstruction to protect Google.

TWeaK@lemm.ee on 05 Oct 2023 12:51 collapse

You need some reasonable grounds to put before a judge before they’ll grant a subpoena. A subpoena can confirm what they suspect, it can’t be used to blindly fish for evidence.

However it could be that what was in the deposition gives them the grounds. Should be an interesting trial.

Steeve@lemmy.ca on 05 Oct 2023 10:52 collapse

Does it swap search terms just for the portion that returns the ad or for the search as well? If it’s just the ad, that doesn’t seem very problematic, just an implementation detail on how it chooses which ad to show. If it’s for the search as well, I don’t see how that would benefit Google. They wouldn’t be able to consider a search result click a successful conversion if it wasn’t an actual advertisement.

ink@r.nf on 05 Oct 2023 16:10 collapse

Google Search, Adsense/Analytics, Android and Chrome should be broken up.

It’s feeding the same evil