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How Google-Double-Click is exploiting antitrust law's soft underbelly

The news of Google acquiring Double-Click prompted me to spend a good part of my weekend analyzing the competitive implications of this seminal proposed acquisition for the future of the Internet.

My analysis focused on answering the following key questions of interest:

  • What is Google's real competitive endgame with DoubleClick?
  • Why is this acqusition likely to pass antitrust muster?
  • Why will Google increasingly dominate Internet search?
  • What other anticompetitive behaviors by Google position Google to dominate Internet advertising?

Summary of my conclusions:

  • Google's brillliant acquisition of DoubleClick represents another critical building block in Google's shrewd strategy to further dominate the Internet advertising market.
  • Google's "global growth strategy" is the public euphemism for its grand plan to systematically foreclose its potential Internet advertising competition.
  • This acquisition of DoubleClick skillfully exploits antitrust law's weak underbelly, so it is unlikely to be blocked by the Government.
  • Google is on path to increasingly dominate and possibly effectively monopolize Internet search in the next several years.
  • Google is currently leveraging its search dominance into Internet advertising generally, in much the same way Microsoft leveraged its dominance in operating systems into PC software applications (Windows) in the 1990's.
  • Google's very sophisticated (anti-)competitive foreclosure strategy goes beyond acquisitions to include:
    • Share-buying "business partnerships;"
    • Systematic theft of intellectual property;
    • Systematic click fraud;
    • Weak Sarbanes-Oxley internal controls;
    • Predatory proposed regulation of broadband competitors; and
    • Aggressive competitive arbitrage of privacy law.

Please click here for my full 10 page analysis.

Bottomline: The terms "Google" and "antitrust" will increasingly be used together in sentences.

  • My detailed antitrust analysis proves why.