Google’s advertising monopoly threatens the future of the open web

Hot potato: The U.S. Justice Department’s antitrust lawsuit against Google has finally begun. The Justice Department has accused the Mountain View company of monopolistic behavior in the online advertising market. Privacy advocates warn that the situation could get worse depending on how the case plays out.

If the DoJ lawsuit fails, the online ecosystem could deteriorate for users and third-party companies. Lawyers, nonprofits, and privacy experts recently held a press hearing on the landmark case, saying a Google win would jeopardize the future of the open web.

The open web refers to an internet information infrastructure that is free, decentralized, and accessible to everyone. Ideally, the open web would have no central authority or “gatekeepers” to control access and manage the information that people access through traditional internet interfaces, such as web browsers.

Google is the dominant gatekeeper for most Internet users worldwide. Lee Hepner, a California antitrust lawyer and general counsel for the American Civil Liberties Project, argues that the open web will continue to decline if Google wins the case. He argues that the open web represents an opportunity for small Internet companies. If we lose that ecosystem, the Internet market will become “increasingly vertical” and trapped in the walled gardens of Big Tech.

Tech Oversight Project executive director Sacha Haworth said Google is trying to downplay the damage its predatory business model is doing to the web. Google-controlled advertising is “distorting” the digital economy, contributing significantly to inflation.

If Google did not exert its monopoly influence over advertising, broader market competition would lead to lower consumer prices for online goods and services. Elise Phillips, public policy counsel for knowledge, notes that the digital advertising landscape should be more accessible and could give small and medium-sized businesses a better chance of reaching online shoppers. Market researcher Karina Montoya adds that a Google victory would create a virtually insurmountable divide between the “haves and have-nots” in the online marketplace.

The DoJ lawsuit alleges that Google created a market monopoly by illegally acquiring smaller rivals in the advertising industry. It also accuses the search giant of controlling significant parts of the advertising supply chain, actively raising prices so that advertisers pay more and website owners receive significantly less.