Microsoft And AT&T Speak Out Against Google And DoubleClick Merger For Anti-Trust Violations - Hilarity Ensues!
By Will Park on Monday, April 16th, 2007 at 6:59 PM PST In Partnerships, Rumors
The fact that the $3.1 billion merger of Google (NSDQ: GOOG) and DoubleClick is being opposed by Microsoft (NSDQ: MSFT) and AT&T (NYSE: T), on grounds of possible anti-trust violations, just goes to show that Karma has a sense of humor (peppered with irony). Microsoft, once involved in a Department of Justice showdown for violoating anti-trust regulations, is whining about the merger giving Google/DoubleClick too much control of the market. What’s that M$? It’s dangerous to give any one company something close to total control of a certain market? You don’t say.
Microsoft general counsel, Brad Smith, released a statement saying that the deal “raises serious competition and privacy concerns in that it gives the Google-DoubleClick combination unprecedented control in the delivery of online advertising, and access to a huge amount of consumer information by tracking what customers do online.” We’re pretty sure that Microsoft’s motivation in their opposition is mostly un-altruistic - seeing as how MS has been pushing into online advertising recently, and is afraid that the proposed merger would crush Microsoft’s efforts before it had any time to really take off. Maybe Apple (NSDQ: AAPL) could lend a sympathetic ear to your woes, Microsoft. Wait, maybe not.
AT&T is also jumping into the fray, worried that Google’s control of web advertising could kill AT&T’s digital television offerings. AT&T may still be harboring some ill-will for the infamous Ma Bell monopoly breakup in the 80’s.
If the merger proceeds, Microsoft’s Brad Smith estimates that the behemoth online company will control upwards of 85% of the online advertising market. That’s pretty scary. Well, until you think about Microsoft’s 95% OS (operating system) market share. Let’s leave it up to the federal regulators to decide if the merger could possibly violate anti-trust laws. If past performance is any measure of future decisions, we’re pretty sure that this merger will get the green light. If Janet Reno couldn’t take down Microsoft, loveable Google shouldn’t have any trouble wooing the feds.
Via: newyorktimes
