US Says Google Saw Ad Startup as a ‘Threat’ — And Bought It
- Company executive testifies AdMeld closed ‘gap’ in portfolio
- US DOJ’s antitrust case over ad technology enters second week
Google purchased AdMeld for more than $400 million and, after integrating its technology into the company’s advertising exchange, shut down the product two years later.
Photographer: Gabby Jones/BloombergGoogle bought advertising technology provider AdMeld in 2011 because the search giant saw the startup as a “threat” to its online display ad strategy, antitrust enforcers sought to show at trial Monday.
The purchase of the company was portrayed by the Justice Department in its monopolization trial against the Alphabet Inc. unit as an example of so-called killer acquisitions. The government alleges that Google bought up nascent rivals, starting with DoubleClick in 2008 and followed by AdMeld and Invite Media, to build up a dominant position and stifle competition for its online ad tools.