Close
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Subscribe
Logo
  • Latest News
  • Artificial Intelligence
  • Video
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Subscribe
    Home Cloud
    • Cloud
    • IT Management
    • Storage

    Google Earmarks $500M for DOJ Ad Scrutiny

    Written by

    Clint Boulton
    Published May 11, 2011
    Share
    Facebook
    Twitter
    Linkedin

      eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More.

      Google lowered its first-quarter net income by $500 million, setting aside the profit cash as part of a resolution to the Justice Department’s investigation of its advertising practices.

      Google reported Q1 income of $2.3 billion April 14. As a result of the DOJ’s scrutiny, the search engine could bank $1.8 billion instead, according to the company’s quarterly filing with the Securities and Exchange Commission. Google noted to the SEC:

      “In May 2011, in connection with a potential resolution of an investigation by the United States Department of Justice into the use of Google advertising by certain advertisers, we accrued $500 million for the three month period ended March 31, 2011.”

      Both the DOJ and Google declined to comment on that matter. The DOJ does not discuss ongoing investigations and Google said it could not divulge detail because it is an ongoing legal concern.

      With both parties refusing to comment, one must turn to the language in the SEC filing.

      While it’s tempting to assume the legal issue stems from a new antitrust complaint, the emphasis on the “use of Google advertising by certain advertisers” suggest some advertisers are misbehaving. This could include gaming Google to take advantage of consumers, who in turn complained to the DOJ.

      Whatever the case, this isn’t the first time Google’s ad platforms have been scrutinized. Google’s search and ad services have come under antitrust scrutiny by the European Commission and Texas in the U.S.

      The European Commission is looking into allegations that Google prevented ad partners from placing competing ads from some vendors on their own Websites.

      In Texas, Google advertisers MyTriggers and SourceTools claimed Google denigrates their ad placement on its search engine, causing the companies to lose money.

      The Federal Trade Commission in U.S. is rumored to be formulating a broad antitrust inquiry into Google’s search business, following the loud outcry over Google’s winning bid to buy ITA Software for $700 million. The DOJ blessed the deal in April with some strict conditions.

      Finally, Google, along with rival Apple, just endured a tough two weeks of congressional scrutiny over its use of location data on smartphones.

      Clint Boulton
      Clint Boulton

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      MOST POPULAR ARTICLES

      Artificial Intelligence

      9 Best AI 3D Generators You Need...

      Sam Rinko - June 25, 2024 0
      AI 3D Generators are powerful tools for many different industries. Discover the best AI 3D Generators, and learn which is best for your specific use case.
      Read more
      Cloud

      RingCentral Expands Its Collaboration Platform

      Zeus Kerravala - November 22, 2023 0
      RingCentral adds AI-enabled contact center and hybrid event products to its suite of collaboration services.
      Read more
      Artificial Intelligence

      8 Best AI Data Analytics Software &...

      Aminu Abdullahi - January 18, 2024 0
      Learn the top AI data analytics software to use. Compare AI data analytics solutions & features to make the best choice for your business.
      Read more
      Latest News

      Zeus Kerravala on Networking: Multicloud, 5G, and...

      James Maguire - December 16, 2022 0
      I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
      Read more
      Video

      Datadog President Amit Agarwal on Trends in...

      James Maguire - November 11, 2022 0
      I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2024 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.