News Corp's $9 Billion Dilemma: The Google Ad Tech Monopolization

In 2017, News Corp estimated it would lose $9 billion in ad revenue by switching away from Google, revealing the tech giant's control over the ad market. Google's antitrust trial has exposed how its intertwined ad server and exchange hinder industry competition, potentially leading to major legal consequences.

News Corp estimated a potential $9 billion loss in 2017 if it switched ad platforms from Google's advertising ecosystem, highlighting the media conglomerate's dependency on Google's services, a former executive testified in a Virginia antitrust trial on Tuesday.

Stephanie Layser, an ex-News Corp advertising tech executive, described Google's dominance as a form of captivity. Google's ad server and exchange system compel publishers to rely on it, she testified, noting that while many features favor Google, alternatives are scarcely used in the industry because of this dependence.

The U.S. Department of Justice aims to prove that Google's manipulation of ad tech markets stifled competition. Evidence showed News Corp earned significant revenue through Google's ad exchange. Layser's exposure of Google's deep-rooted control comes as part of a broader trial where other adtech competitors and Google executives are slated to testify.

(With inputs from agencies.)