Google-AdMob Merger

Citation
Google, Inc./AdMob, Inc., File No. 101 0031 (May 21, 2010) (Statement).

Overview
After an investigation, the Federal Trade Commission issued a detailed statement when it closed its investigation of Google Inc.’s proposed acquisition of mobile advertising network company AdMob. After thoroughly reviewing the deal, the FTC concluded that the merger was unlikely to harm competition in the emerging market for mobile advertising networks. Mobile ad networks, such as those provided by Google and AdMob, sell advertising space for mobile publishers, who create applications and websites [][configure]]d for mobile devices, primarily Apple’s iPhone and devices that run Google’s Android operating system.

The Commission said that although the combination of the two leading mobile advertising networks raised serious antitrust issues, the agency’s concerns ultimately were overshadowed by developments in the market, most notably a move by Apple Computer Inc. to launch its own, competing mobile ad network. In addition, a number of firms appeared to be developing smartphone platforms to better compete against Apple’s iPhone and Google’s Android, and these firms would have a strong incentive to facilitate competition among mobile advertising networks.