A new lawsuit has claimed that Facebook and Google colluded in online ad sale.
According to an amended antitrust complaint filed by Texas and 15 other states, the two tech giants teamed up and hammered out the terms of the agreement.
the filing said, "Google quickly realised that this innovation substantially threatened its exchange’s ability to demand a very large 19 to 22 per cent, cut on all advertising transactions,"
"Following the agreement, Facebook curtailed its involvement with header bidding in return for Google giving Facebook information, speed, and other advantages."
In a statement, Google spokesperson Peter Schottenfels said the lawsuit is “full of inaccuracies and lacks legal merit.”
On January 14, Meta spokesperson Chris Sgro said that the company’s ad bidding agreement with Google and similar agreements it has with other platforms “have helped to increase competition for ad placements.”
“These business relationships enable Meta to deliver more value to advertisers while fairly compensating publishers, resulting in better outcomes for all,” Sgro Added.