Another front in the antitrust wars
Google and Meta are being investigated by antitrust regulators in the EU and UK over “Jedi Blue” — a deal between the two firms that critics say allowed them to block smaller tech companies from gaining a foothold in the online ad market.
, where 15 state attorneys general have filed lawsuits against the two companies. These multiple legal fronts have led to a slow trickle of details about both the deal and prosecutors’ accusations. Court filings allege, for example, that Jedi Blue was reviewed and approvedat Google and Meta, including Sundar Pichai, Sheryl Sandberg, and Mark Zuckerberg.
The origins of Jedi Blue are usually traced back to a decision by Meta in 2017 to support an adtech system that would rival Google’s. Lawsuits in the US claim Meta dropped its support of the technology in 2018 after Google offered the company preferential access to its bidding system for online ads. As part of the deal, Meta got to be first in the queue when buying ad real estate from Google, and afterwards stopped investment in rival adtech systems.
It’s a somewhat complicated backstory, but the upshot — according to US prosecutors — is that the two companies worked together to save each other money and block out rivals.Although regulators are investigating both Meta and Google, the European Commission says it’s possible that only Google deserves the blame. Margrethe Vestager, the EU’s competition chief,
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