Feeds

DoJ double eyes Google flight data play

$700m airline search pact under microscope

Eight steps to building an HP BladeSystem

Google's proposed $700 million acquisition of flight data outfit ITA Software is receiving extra scrutiny from the US Department of Justice.

On Friday, with a blog post, Google told the world that it has received a "second request" from the DoJ, meaning the feds want additional information as they continue to review the deal.

In announcing the proposed acquisition earlier this month, the web giant was already on the defensive against would-be antitrust scrutiny. Google said it had agreed to buy ITA – which specializes in organizing airline data such as flights times, availability, and prices – because it wants to expand its flight search services, and it made a point of saying that it "won't be setting airfare prices and has no plans to sell airline tickets to consumers" and that "the deal will not change existing market shares."

With Friday's blog post, it gave the usual line about people watching it closer just because it's so darn good at what it does. "While we think this acquisition will benefit travelers as well as those seeking their business, we know that closer scrutiny has been one consequence of Google's success, and we said that we wouldn’t be surprised if there were a regulatory review before the deal closes," the company said. "While this means we won't be closing the deal right away, we're confident that the DOJ will conclude that online travel will remain competitive after this acquisition closes."

Google's $750m acquisition of mobile ad outfit AdMob was delayed six months by a Federal Trade Commission review, amid concerns that it would give Google too large a share of the burgeoning market for mobile ads. Though, according to Google, its ITA deal will not change existing market shares, the European Union has received complaints over the company's ability to leverage its search monopoly in other markets, including online mapping and price comparison.

Google also says that it will continue to work with ITA's existing customers and that online travel companies have alternatives to ITA's product. ®

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon Reveals One Weird Trick: A Loss On Almost $20bn In Sales
Investors really hate it: Share price plunge as growth SLOWS in key AWS division
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
prev story

Whitepapers

Top three mobile application threats
Prevent sensitive data leakage over insecure channels or stolen mobile devices.
Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.