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US Asks Judge To Break Up Google's Ad Tech Business

4 weeks ago
The U.S. government is seeking to break up Google's advertising technology business after a judge ruled the company holds an illegal monopoly over ad tools for publishers, marking the second such antitrust case following a similar request to divest Chrome. The Guardian reports: "We have a defendant who has found ways to defy" the law, US government lawyer Julia Tarver Wood told a federal court in Virginia, as she urged the judge to dismiss Google's assurance that it would change its behavior. "Leaving a recidivist monopolist" intact was not appropriate to solve the issue, she added. [...] The US government specifically alleged that Google controls the market for publishing banner ads on websites, including those of many creators and small news providers. The hearing in a Virginia courtroom was scheduled to plan out the second phase of the trial, set for September, in which the parties will argue over how to fix the ad market to satisfy the judge's ruling. The plaintiffs argued in the first phase of the trial last year that the vast majority of websites use Google ad software products which, combined, leave no way for publishers to escape Google's advertising technology and pricing. The district court judge Leonie Brinkema agreed with most of that reasoning, ruling last month that Google built an illegal monopoly over ad software and tools used by publishers, but partially dismissed the argument related to tools used by advertisers. The US government said it would use the trial to recommend that Google should spin off its ad publisher and exchange operations, as Google could not be trusted to change its ways. "Behavioral remedies are not sufficient because you can't prevent Google from finding a new way to dominate," Tarver Wood said. Google countered that it would recommend that it agree to a binding commitment that it would share information with advertisers and publishers on its ad tech platforms. Google lawyer Karen Dunn did, however, acknowledge the "trust issues" raised in the case and said the company would accept monitoring to guarantee any commitments made to satisfy the judge. Google is also arguing that calls for divestment are not appropriate in this case, which Brinkema swiftly refused as an argument. The judge urged both sides to mediate, stressing that coming to a compromise solution would be cost-effective and more efficient than running a weeks-long trial.

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Temu To Stop Selling Goods From China Directly To US Customers

4 weeks ago
An anonymous reader quotes a report from the BBC: Temu has said it will stop selling goods imported from China in the US directly to customers from its platform. The online marketplace said sales would now be handled by "locally based sellers," with orders fulfilled from within the country. The move comes as a duty-free rule for low-value packages is closed. Temu, and rival Chinese retail giant Shein, had previously relied on the so-called "de minimis" exemption to sell and ship low-value items directly to the US without having to pay duties or import taxes. Temu said it had been actively recruiting US firms to join the platform. "All sales in the US are now handled by locally based sellers, with orders fulfilled from within the country. "The move is designed to help local merchants reach more customers and grow their businesses," it added. Supporters of the de minimis loophole, which applied to parcels worth less than $800, argue it helped streamline the customs process. But both Trump and his predecessor, Joe Biden, said it damaged American businesses and was used to smuggle illegal goods, including drugs. In February, Trump briefly closed the loophole but the suspension was quickly paused as delivery services and customs agencies struggled to adjust. During the pause, the U.S. Postal Service even stopped accepting parcels from mainland China and Hong Kong.

Read more of this story at Slashdot.

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