Google won't be forced to sell its ad exchange following antitrust ruling

A federal judge has rejected the Justice Department’s request to force Google to sell its AdX ad exchange, a decision that spares the company from a structural breakup but still requires it to change how it operates that business. Judge Leonie Brinkema ruled on Wednesday that Google will not have to divest the exchange, which publishers use to auction off unused ad space in real time. The ruling follows her earlier determination last year that Google illegally monopolized two ad technology markets. The decision affects US publishers and advertisers who rely on these tools for buying and selling digital ad slots.

The judge accepted undisclosed “behavioral remedies” that the parties proposed, according to Bloomberg, with Google required to open up its ad tech tools to rivals. The full decision was issued under seal so that both sides could review it and request any necessary redactions before public release. Google’s vice president of regulatory affairs, Lee-Anne Mulholland, said in a statement that the company is pleased the court rejected the DOJ’s proposal to break apart tools that help small businesses reach new customers and grow. The specific terms of the behavioral fixes have not been made public.

The case stems from a lawsuit filed in 2023 by the DOJ and eight US states, which accused Google of using its monopoly position in ad tech to charge higher fees and control a larger share of ad sales. The government argued that Google held an 87 percent share of the ad-sales technology market. Brinkema ruled in April of the prior year that Google violated antitrust law by forcing publishers that host ads on its servers to use AdX, its ad exchange. Publishers currently pay Google a 20 percent fee to use AdX for real-time ad sales.

Beyond this US ruling, Google has faced regulatory pressure elsewhere over its ad technology businesses. In September, the European Union’s executive arm fined the company $3.5 billion after concluding that it gave its own ad tech products preferential treatment over competitors. That same month, a separate district judge ruled that Google would not be forced to sell its Chrome browser, following an earlier determination that the company held a monopoly in online search. The company continues to operate its ad exchange and related tools while navigating these overlapping legal challenges.

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