EU and UK investigate Meta and Google over alleged joint monopoly on online advertising

The online advertising market is highly competitive. Meta and Google, which are dominant in social platforms and search engines, have a high proportion. If the two companies cooperate, it is more likely to form a monopoly. The UK and EU have recently launched investigations.

EU and UK antitrust regulators have launched formal investigations into Meta and Google, suspecting that the two companies are jointly monopolizing the online advertising market and hurting other competitors. The unofficial agreement between the two companies, called Jedi Blue, is currently under investigation in the United States, in addition to the United Kingdom and the European Union.

The agreement was reached in 2018, and the regulatory authorities believed that Google opened its advertising database to Meta (then Facebook), and Facebook did not compete with Google in the general web advertising market in exchange. This move creates a problem of joint pricing and distortion of advertising bidding platforms, and is unfair to other online advertising competitors. Both companies could face hefty fines if convicted. Both companies currently deny monopoly, saying the agreement actually helps improve competition rather than the other way around.

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