States Allege Google Cut Deal With Facebook to Rig Online Ad Market

A coalition of state attorneys general sued Google, accusing the search giant of operating an illegal digital-advertising monopoly, in part thanks to an auction-rigging deal with rival Facebook. The complaint, filed in US District Court in Texas, alleges that Facebook emerged in 2017 as a powerful new rival to the Alphabet unit’s established dominance in the market for online advertising. In response, the complaint says, Google initiated a deal with the social-media company that allowed the search giant to preserve its commanding position in a key segment of the online ad market, while guaranteeing Facebook would win a certain share of Google-run ad auctions. Google denied engaging in any anticompetitive behavior and repeated its stance that it operates in highly competitive markets.