Google-Facebook “Jedi Blue“ deal under probe in EU
The HinduIn December 2020, nearly a dozen U.S. states, led by Texas, sued Google for secretly running an illegal advertising monopoly. In this case, it allowed Facebook to send bids directly into Google’s widely used software, known as an ad server. Through the 2018 agreement “a competing technology to Google’s Open Bidding may have been targeted with the aim to weaken it and exclude it from the market for displaying ads on publisher websites and apps,” Margrethe Vestager, EU’s antitrust commissioner, said. At the heart of the lawsuit in the U.S., and the probe in EU is the Google code-named “Jedi Blue” deal that could potentially exclude other ad tech services that compete with Google’s “Open Bidding” software. If the duo’s practices are proven by the antitrust regulator, it could breach EU’s competition law related to anticompetitive agreements between companies, and abuse of dominant position.