Former Department of Justice antitrust chief Jonathan Kanter recently shared his insights on the potential seismic shifts in the advertising world following Google’s latest antitrust loss. In a CNBC interview with Jim Cramer, Kanter unpacked the implications of the court decision, suggesting a future vastly different from the current Google-dominated landscape.
Kanter highlighted the forward-looking nature of the remedies. He emphasized that these changes won’t simply address past practices, but will shape the future of the advertising market, particularly concerning the integration of AI. He envisions new opportunities for businesses to leverage AI in advertising, breaking free from Google’s current stranglehold. His optimism extends to the speed of these changes, contrasting the often sluggish pace of legal processes with the swiftness of this particular case.
The DOJ’s case, filed in 2023 during Kanter’s tenure, alleged that Google’s advertising business violated antitrust laws by illegally maintaining its dominance and harming competitors. This recent ruling marks the second antitrust loss for Google in less than a year, following a similar defeat last August regarding its search business. Kanter underscored the significance of Google’s advertising dominance, highlighting its impact on businesses that face exorbitant costs and news publishers who have been ‘overcharged and underpaid.’
While declining to speak for the current administration, Kanter expressed confidence that the ongoing efforts to reform the advertising sector would continue. He stressed the importance of maintaining fair competition and opportunity for all businesses. Google, in a statement to CNBC, countered that publishers have numerous advertising options and choose Google for its efficiency and affordability, while also noting they would appeal aspects of the ruling.
Kanter’s predictions paint a picture of a more diversified and competitive advertising landscape. The future, it seems, will be less dominated by a single tech giant, potentially leading to fairer pricing, more innovative approaches to advertising, and a healthier ecosystem for both businesses and consumers.
