My detailed analysis over the last several weeks leads me to believe that the FTC is likely to block the Google-DoubleClick merger because it will enable Google to dominate online advertising and dramatically increase the opportunity for market collusion and price manipulation in the market for consumer click data, ad-performance tools, ad-brokering and ad-exchanges.
Antitrust is fact-specific and evidence-driven. To understand the true antitrust outlook for a merger one needs to become familiar with the core facts of the case. To date, media and investment coverage of this merger has been remarkably superficial.
I see three big takeaways from my white paper.
First, the more people learn about this merger the more concern they will develop.
Second, most do not appreciate how extraordinarily concentrated key parts of the Internet have become.
Third, I took the time to do this detailed analysis because as a leading "precursor," I strongly believe that Google will soon displace Microsoft as the lead focus of the antitrust community going forward.
In closing, I expect to be attacked personally for my analysis and conclusions here, just like I was attacked by Bernie Ebbers and WorldCom as "the idiot Washington analyst" for having the audacity to be the only analyst in the country willing to predict, and stick to my guns, that the government would block the WorldCom Sprint merger.