Japan’s Fair Trade Commission (FTC) recently investigated practices in the country’s search advertising market. Here’s a breakdown of the key points:
Focus on Targeted Search Ads:
The investigation centered on targeted search ads, where users see ads relevant to their search queries. The FTC examined potential limitations on competition in this growing area.
Yahoo Japan and Access to Technology:
The FTC found that between 2015 and 2022, Google allegedly restricted access to certain technology for Yahoo Japan. This technology was reportedly crucial for Yahoo Japan to compete effectively in targeted search ads on mobile devices.
Google’s Response and Commitment:
Upon notification by the FTC, Google reportedly modified its practices and pledged to provide Yahoo Japan with access to the relevant technology.
Focus on Fair Competition:
The FTC emphasized its commitment to a fair and competitive search advertising landscape in Japan. They will continue to monitor the situation and reserve the right to take further action if necessary.
Global Trend of Antitrust Scrutiny:
This action reflects a growing trend of antitrust regulators worldwide examining the practices of large technology companies. The concern is that these companies may use their size and influence to stifle competition.
Focus on Google’s Practices:
The FTC investigation focused on Google’s specific practices, and the outcome didn’t involve any penalties. However, it highlights the growing scrutiny Google faces regarding competition concerns.
Looking Ahead:
The FTC is also investigating whether Google may have influenced Japanese smartphone makers to prioritize its search services. This demonstrates their ongoing commitment to ensuring a fair and competitive mobile landscape.