There are a number of antitrust cases pending over the monopoly on Facebook and Google, but now their problems may increase. The New York Times has obtained documents from an antitrust case filed by the US state of Texas, which states that an agreement has been reached between the two companies in 2018.
The deal was struck between the two companies to reduce competition for advertising, dubbed JD Blue. Under the agreement, Facebook and Google facilitated advertising in each other's fields. According to the report, Facebook benefited more from the month because it had more time to auction ads, bill directly to sites hosting ads, and helped Google understand ad viewers.
Under the agreement, Facebook could be part of an auction of 90 percent of ads that would help it identify users, while Google was asked to refrain from participating in the auction process. The deal wasn't a good deal for Google's other advertising partners. The lawsuit alleges that Google helped Facebook gain access to a number of ads and frustrated opponents.
Facebook and Google have already denied any involvement in the deal. A Facebook spokesperson claimed that contracts like Google's help increase competition in advertising auctions and that the allegations were baseless. A Google spokesman said the lawsuit was filed in a Texas lawsuit. A blog was also posted by Google to respond to these objections.
Such agreements are not necessarily against the law, but they do indicate how the two major technology companies are aware of the scrutiny. Under one of the terms of the agreement, the two companies are obliged to co-operate and co-operate with each other when their advertising activities are investigated. The agreement also mentions antitrust at least 20 times.