Antitrust

Anyone concerned about their privacy should read the GREAT article in PC World on Google and privacy, and in particular should look at the call out box to see the risk about all that Google knows about you.  

• The article does a great job of explaining all the ways that others and the government could easily access tons of private information on you via Google's huge cache of private information on you.
• Google is quickly becoming the enabler of George Orwell's feared "Big Brother" in "1984."

Let's see if the mainstream press picks up on this obvious and interesting populist story... it has legs.

Can you believe it?

Google launches its new public policy blog today and the NetCompetition/Precursorblog is not one of the blog links under "What We Are Reading!" Horrors!

First of all, it is not very "authentic" of the Google bloggers to not admit that they regularly read Precursorblog -- we know they do!

• Of course they do.
• It's just one of those guilty pleasures that they do behind closed doors because it is not politically correct at Google to expose one's mind to conservative or free market thoughts.  

Second, don't you believe for a minute that Google does not want to know what their latest public policy or PR vulnerability is.

The following is the comment I posted to Google's first "authentic" blog post on net neutrality in Google's new public policy blog:

Welcome to the blogosphere! We congratulate Google for joining the NN debate more openly using your own "authentic" voice and not those of your surrogates. It is also about time for Google to be more specific on the issue of net neutrality.

It is very rare when I feel compelled to praise the liberal New York Times editorial board for one of its editorial positions, but to be fair, I must when they get an issue dead right.

• Please read the New York Times' outstanding editorial today called "Watching your every move." 
• The NY Times appropriately sees Google's new "Street View" public surveilance feature as a "Big Brother"-like threat to everyone's privacy.
• They also connected-the-dots that Google is collecting more personal information on Americans than any other entity in the world. Which is particularly disturbing because Google reportedly has the world's worst privacy policies and an "entrenched hostility to privacy."

George Orwell's seminal book "1984" ingrained the totalitarian metaphorical threat of "Big Brother" in the world's thinking and lexicon.

Google, in making a high-profile complaint to the Justice Department and State Attorney Generals, about Microsoft's latest operating system Vista, appears to be naively unaware of its own antitrust vulnerabilities in its pending Google-DoubleClick antitrust review at the FTC.

• The NY Times made Google's complaint a top right cover story on Sunday and the Wall Street Journal featured Google's complaint as its top business story Monday.  

It has always been unwise for those in "glass houses to throw stones."

Just after Google's CEO Eric Schmidt summarily dismissed privacy concerns as an issue in the FTC's review of the Google-DoubleClick merger, a privacy watchdog group said "Google inc.'s privacy practices are the worst among the Internet's top destinations," according to an AP article "Watchdog group slams Google on privacy." 

• "...London-based Privacy International assigned Google its lowest possible grade. The category is reserved for companies with "comprehensive consumer surveilance and entrenched hostility to privacy."

American privacy groups are petitioning the FTC (EPIC, CDD, and US PIRG) to address the privacy issue in the context of the Google-DoubleClick merger.

• Privacy groups in the US and in Europe are rallying around this issue, because as the NY State Consumer Protection Board has said: "Google's database...will make up the world's single largest repository of both personally and non-personally identifiable information."
• Investors and others that dismiss privacy as a competitive concern in the Google-DoubleClick merger -- do so at their own peril.

Why is privacy a competitive issue in the Google-DoubleClick merger?

An  Associated Press article, "Google Chairman dismisses privacy issue" could turn out to be like waving a red cape in front of a bull.

• Relevant parts of the AP story:
•   "Google Chairman Eric Schmidt said Wednesday that U.S. regulatory approval of his company's proposed acquisition of DoubleClick will not be hindered by concerns over privacy."

• "Schmidt said that Google, when considering the acquisition, "looked very carefully" at privacy and other issues that would come under legal review "because we knew competitors would raise those issues, as indeed they have."

For anyone watching Google closely, they are cleverly locking up all the leading segments of the Internet which control the monetization access points to Internet content.

• Per MediaWeek, June 1st Google bought Feedburner, the largest feed and blog advertising network, which also happens to have the best quality and quantity of major content providers who subscribe to blog feeds.
• It's a shrewd and brilliant move, if the antitrust authorities allow it.
• This comes on the heels of its April proposed merger with DoubleClick, the largest adserving company on the Internet, which is estimated to serve 80-85% of Internet users with display ads per EPIC.
• That came on the heels of the closing of Google's YouTube acquisition, which makes Google the owner of the largest user-created video content network and one of the most popular destinations on the web.

Anyone else see a pattern here?

Ad Age reports that the two largest Advertising Associations have asked antitrust officials to look into the spate of major advertising acquisitions; Google-DoubleClick, Microsoft aQuantive, Yahoo-Right Media, and WPP-24/7 Real Media.

• The thrust of the letter:
• "During the past month, there have been several major acquisition announcements in the online advertising marketplace... These mergers, if approved, certainly would change the online advertising marketplace. As such, those proposed combinations deserve careful scrutiny. It is essential to ensure that none of these combinations restrict competition in the Internet advertising marketplace."

Why is this significant?

• First, the advertising community does not like to make waves or speak ill of any potential client -- in any way in public -- it goes against their normal business practice.  
• The fact that they did speak up and that they did ask the Government to give all these mergers close scrutiny -- was their indirect/politic way of getting their point across without stepping on any one company's proverbial toes.  
• Second, I think they are genuine in their shock and bewilderment that their entire industry has been transformed before their eyes in a matter of weeks.
• The online technology players have swooped in and made it clear that  technology and measurement tools are advertising's future.
• The tail will now wag the dog.
• Advertisers and advertising agencies must adapt or be left in the dust.
• WPP, for one, has quickly adapted with its purchase of 24/7 Real Media.

It is my view that there is a whole lot more going on here than meets the eye.

Google's dominance of the search industry continues....

• Can you say:
• "search" and "antitrust" in the same sentence?
• Can you say:
• "Googleopoly?"