Google Goes to Washington

Katherine Mangu-Ward | September 27, 2007

This afternoon, Google and Microsoft execs are scheduled to speak with a Senate panel "to argue their respective cases for why Google should--or should not--be allowed to purchase DoubleClick for $3.1 billion."

The hearing could mark a turning point in Google's relationship with Washington. It is the first time that Congress has seriously scrutinized the fast-growing company's business strategies, and the first time that a proposed acquisition by the company has encountered such concerted political opposition.

It also represents the result of months of private lobbying and public agitation against the merger by Google's most dangerous business rivals. No stranger to antitrust issues, Microsoft has ordered its legendary army of lobbyists to torpedo the deal, and AT&T, Yahoo and Time Warner have also expressed concerns.

Both sides have hired economists as well as lobbyists. Naturally, the arguments are ostensibly about the greater good, and really about deep-sixing competitors. Still, everyone's being very careful about just how they make their case:

After their own recent high-profile acquisitions, however, it's required some careful political legerdemain for Microsoft and other Google rivals to argue against the DoubleClick purchase. Yahoo bought online advertising firm Right Media. AOL bought German ad-serving firm Adtech AG and Tacoda, which does online behavioral targeting. Microsoft spent $6 billion buying advertising firm Aquantive, a DoubleClick rival, and online advertising exchange AdECN Inc.

More on Google and governments here. 

Comments

|9.27.07 @ 12:26PM|#

Microsoft, AT&T, Yahoo and Time Warner should hang their collective heads in shame. This is pure bullshit.

Episiarch|9.27.07 @ 12:30PM|#

MS and the rest are hypocritical (is this some surprise?), but honestly, Google's "all your data are belong to us" approach is not particularly reassuring. Since we know they aren't overly concerned with cooperating with a totalitarian government (China), what's to say they won't cooperate with the DOJ eventually?

Stephen the Goldberger|9.27.07 @ 12:41PM|#

i can't wait for the time i can reject the united states and swear allegiance to Google, my true protectors and overlords.

Tom W|9.27.07 @ 12:50PM|#

In other Google news....

Google Launches 'The Google' For Older Adults

|9.27.07 @ 12:51PM|#

i can't wait for the time i can reject the united states and swear allegiance to Google, my true protectors and overlords.

Deluded fool! Wal-Mart rules the U.S. and will never bow to an upstart like Google.

|9.27.07 @ 12:59PM|#

Many of us work for employers who engage in trying to get government to give favors/hurt our competitors. Why? Because the govt has that power and you'd be a fool not to protect yourself. So, we need to take away the gov'ts power to bestow these favors.
Don't worry, some poster will come along who
will tell us how bad "dog eat dog" is, and will envoke the "robber barons", etc.

|9.27.07 @ 1:06PM|#

Tom W

Brilliant! Thanks for the link

|9.27.07 @ 1:06PM|#

that should be my comment just above.
Damned "remember me" box.

|9.27.07 @ 1:34PM|#

If it was me I would be going to that panel with a one sentence statement, "It's none of your business". But as stated earlier you have to play the game. This reminds me of when they went after Microsoft. My thought was that if I was Bill Gates I would have just shut the whole thing down, taken my toys and gone home. Yup, no more Microsoft to worry about then.

|9.27.07 @ 2:36PM|#

While I have no comment on the government aspect, if Google chooses to associate themselves with those pigs at doubleclick, I'll have to find another search engine.

Rhywun|9.27.07 @ 2:47PM|#

if Google chooses to associate themselves with those pigs at doubleclick, I'll have to find another search engine

Or... wait five minutes for a Firefox plugin to appear that disables any doubleclick cruft.

|9.27.07 @ 2:55PM|#

Rywun-I'm pretty sure I've got that covered as it is. This is a matter of principle.

JBinMO|9.27.07 @ 5:36PM|#

"what's to say they won't cooperate with the DOJ eventually?"

What's to say they havn't already started?

|9.27.07 @ 8:09PM|#

Spending the afternoon groveling before Congress. They really deserve better, especially on their birthday .

Rhywun|9.27.07 @ 9:57PM|#

I'm pretty sure I've got that covered as it is. This is a matter of principle.

The principle doesn't bother me. It's the making my browsing experience less pleasant that will.