Feeds

Google to save mankind through DoubleClick deal

More blogs, more ads, more freedom

New hybrid storage solutions

Google and Microsoft went toe-to-toe yesterday on Capitol Hill, jawing over Google's proposed $3.1bn merger with online ad firm DoubleClick.

Speaking before a Senate subcommittee that handles antitrust issues, Microsoft said that the merger would hinder competition in the online ad market and endanger the privacy of people everywhere, giving Google exclusive control over the largest database of user information ever assembled.

Meanwhile, Google said the deal would empower consumers, enliven small businesses, and promote free speech.

That free speech bit has us doubled over with laughter, but it's hard to side with Microsoft. The Redmond outfit - which was slapped by the DoJ for monopolistic practices in the operating system market - reportedly made a bid for DoubleClick and recently nabbed another online ad firm, aQuantive, in a deal worth $6bn. The Federal Trade Commission has approved the Microsoft-aQuantive merger, but it's still mulling over the Google-DoubleClick pact.

"I will be the first to admit that Microsoft is not disinterested in this issue," said Microsoft general counsel Brad Smith.

Smith voiced his displeasure for the merger before the Senate Judiciary Subcommittee on Antitrust, Competition Policy, and Consumer Rights. Since Google already dominates search advertising and DoubleClick maintains a firm grip on internet banner advertising, Smith said, a combined company would have an undue level of control over a market that's expected to top $54bn by 2011.

"What are the economic implications of allowing the largest internet company in online advertising to acquire it's most significant competitor?" Smith asked the committee. "If Google and DoubleClick are allowed to merge, Google will become the overwhelmingly dominant pipeline for all forms of online advertising." He claimed that a combined company would control 70 per cent of the search ad market and 80 percent of the banner ad market.

He insisted this would "be bad" for web publishers, web advertisers, and consumers. Most importantly, he said, the merger would threaten end user privacy.

"Today, it's generally believed that Google and DoubleClick have amassed the two largest databases of online user data in the world," he said. "With this merger Google seeks to record nearly everything you see and do on the internet and use that to target ads."

Then he added that a combined Google-DoubleClick database would throttle competition from rival companies - like Microsoft. "These privacy issues in fact have antitrust consequences," he said. "This concentration of user information means that no other company will be able to serve ads as profitably."

And Google's take on the matter?

Secure remote control for conventional and virtual desktops

More from The Register

next story
'Windows 9' LEAK: Microsoft's playing catchup with Linux
Multiple desktops and live tiles in restored Start button star in new vids
Not appy with your Chromebook? Well now it can run Android apps
Google offers beta of tricky OS-inside-OS tech
New 'Cosmos' browser surfs the net by TXT alone
No data plan? No WiFi? No worries ... except sluggish download speed
Greater dev access to iOS 8 will put us AT RISK from HACKERS
Knocking holes in Apple's walled garden could backfire, says securo-chap
NHS grows a NoSQL backbone and rips out its Oracle Spine
Open source? In the government? Ha ha! What, wait ...?
Google extends app refund window to two hours
You now have 120 minutes to finish that game instead of 15
Intel: Hey, enterprises, drop everything and DO HADOOP
Big Data analytics projected to run on more servers than any other app
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.