We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
78,763 News Articles

Google and Yahoo deal opposed by advertisers

Companies tell DOJ deal will kill competition

Advertisers have opposed the potential ad deal between Google and Yahoo in a letter sent to the US Department of Justice.

The deal, announced in June, would allow Google to display text ads on Yahoo, with Yahoo deciding when and how the ads display and taking a cut of revenue.

In its short announcement of the letter, the Association of National Advertisers stated the deal "will likely diminish competition, increase concentration of market power, limit choices currently available and potentially raise prices to advertisers for high quality, affordable search advertising".

The Wall Street Journal digs into the drama and history of the deal, which came about during Microsoft's attempt to buy all or part of Yahoo. The story notes that the ANA is a major trade group representing clients such as Procter & Gamble and General Motors Corp, but that some "large advertising agencies and midsize advertisers have endorsed the deal".

Also, BusinessWeek's Rob Hof writes that he thinks "it's hard to see harm" in the deal, and that he doesn't quite buy opposition arguments that the deal would necessarily result in higher ad prices.

As to whether the ANA letter will have any effect, the WSJ notes that the ANA opposed Google's purchase of DoubleClick as well, but that the FTC approved the deal anyways.


IDG UK Sites

LG G Watch review: Android Wear smartwatch is the best around, so far

IDG UK Sites

How to join Apple's OS X Beta Seed Program: Get OS X Yosemite on your Mac before public release

IDG UK Sites

Why the BBC iPlayer outage was caused by a DDoS attack: Topsy and Tim isn't *that* popular

IDG UK Sites

See Glasgow 2014 in UHD as history is made