Canada’s Competition Bureau is expanding its probe into Google’s digital advertising services business with a court order, per a press release. The order gives the Competition Bureau, which is an independent law enforcement agency in Canada, permission to continue its investigation. The antitrust review from Canada is just one of many from governments around the world. Following the Federal Court of Canada decision, Google will have to supply the Competition Bureau Canada with information and records that pertain to the probe.
The scope of the investigation will be expanding due to the court order. The Competition Bureau initially opened the probe in 2020. It was centered around uncovering potential anti-competitive practices used by Google. As the dominant company in search, Google had a unique ability to scale its ad-tech businesses. Specifically, the agency was interested in whether Canada’s online advertising industry was harmed by anti-competitive practices. That investigation is still ongoing today, around four years after it initially began.
Now, the Competition Bureau will look at Google’s advertising services holistically. The agency will also review Google’s pricing for ad-tech services, and whether that pricing was predatory. This tactic of predatory pricing can be used by big companies to lower costs due to their massive scale. That way, competitors can’t match the pricing due to their smaller customer base.
It’s important to note that no findings have been released yet. “The investigation is ongoing and there is no conclusion of wrongdoing at this time,” the Competition Bureau Canada said in a statement regarding the probe. The agency notes that Google owns four major ad services used in Canada: DoubleClick for Publishers, AdX, Display & Video 360, and Google Ads. With this in mind, the Competition Bureau is trying to see if Google violated the Competition Act.
What Google says about the Competition Bureau Canada probe
Though the company hasn’t publicly commented on the probes much, Google did provide Reuters with a statement. A spokesperson said that Google “will continue to engage constructively with the Canadian Competition Bureau and demonstrate the benefits of our products to Canadian businesses and consumers.” The company also claimed that Google’s services work, which is why they are so ubiquitous. “Canadian businesses choose to use our advertising products because they’re effective and reliable at helping them reach their customers and grow,” the spokesperson added.
Google is facing antitrust claims from nearly all fronts, as pointed out by The Register. It’s up against a €2.1 billion lawsuit in the EU, among others.