Canada’s Competition Bureau has filed a lawsuit against Alphabet’s Google, accusing the company of anti-competitive practices in the online advertising industry. The Bureau’s action, which seeks an order from the Competition Tribunal, demands that Google sell two of its advertising technology tools and imposes a penalty to ensure compliance with Canadian competition laws.
Google responded, claiming that the lawsuit overlooks the competitive nature of the ad tech market, where advertisers and publishers have many choices. Dan Taylor, Google’s VP of Global Ads, stated that the company’s ad tools help fund content for websites and apps, while assisting businesses of all sizes in reaching new customers.
The Competition Bureau’s investigation began in 2020, focusing on whether Google was engaging in harmful practices within the online ad industry. The Bureau later expanded the probe to include Google’s ad technology services. According to the Bureau’s findings, Google holds a dominant position in Canada’s ad tech stack and has allegedly abused its market power to solidify its position.
This legal action follows similar moves in the U.S., where the Justice Department is pursuing antitrust cases against Google over monopolistic practices in the ad market. In both cases, Google argues that its business practices are legitimate and that competition remains fierce in the online advertising space.
Earlier this year, Google offered to sell its ad exchange as a response to an EU investigation, but European publishers rejected the offer, deeming it insufficient to resolve competition concerns.
