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Two Consumer Groups Try To Block Google’s Acquisition Of AdMob

Stating concerns about Google’s dominance in the mobile advertising market and lack of competition, two consumer groups have asked the Federal Trade Commission to block Google’s $750 million acquisition of AdMob.

In a joint letter to the FTC, Consumer Watchdog and the Center for Digital Democracy said Google (NSDQ: GOOG) argued that Google is buying its way to dominance in the mobile advertising, by diminishing the competition “to the detriment of consumers.” In the letter, the two agencies wrote: “The mobile sector is the next frontier of the digital revolution. Without vigorous competition and strong privacy guarantees this vital and growing segment of the online economy will be stifled,” according to a press release. More interestingly, the two groups said the deal raises substantial privacy concerns because both companies gather tremendous amounts of data about consumers’ online behavior, including their location.

When Google originally announced the deal, it believed it would easily be granted federal approval because the mobile market is so nascent. However, on Dec. 23, Google said the acquisition was being held up because the FTC has issued what is called a

One Response to “Two Consumer Groups Try To Block Google’s Acquisition Of AdMob”

  1. There are genius start-ups that will develop products that compete with Google over time. Google is king now so let them use the technology that they have to move their business forward.

    Remember IBM and Microsoft are no longer what they once were. Over time new gunslingers will always come to town and one day Google will have to reinvent itself but for now competition and smarts are the name of the game.