Canada's Competition Authority Accuses Google of Ad Tech Monopoly

On November 28, 2024, Canada's competition authority announced its accusations against Google for monopolistic practices within its online advertising sector, aiming to compel the tech giant to divest certain aspects of its business. This complaint arrives in the context of a broader trend of regulatory scrutiny aimed at powerful technology corporations globally, including a parallel antitrust lawsuit in the United States.

The Bureau of Competition Policy's statement highlighted that Google dominates various facets of the online ad market, managing between 40% and 90% of specific services. The authority argued that Google effectively leverages its position as the largest provider of ad-buying software, auction marketplaces, and ad display services to sustain and enhance its market power. Their actions allegedly force market participants to rely on Google's advertising tools, stifling competition by impeding rivals from effectively entering the marketplace.

The Canadian government’s move also coincides with new legislative efforts intended to mitigate the adverse impacts of social media and mandates for tech companies to compensate traditional media outlets for their contributions to the information ecosystem. As regulatory bodies worldwide press for accountability from Big Tech, the outcome of Canada's actions could significantly shape the future landscape of online advertising and technological governance.