Canadian Competition Bureau Takes Legal Action Against Google

The Competition Bureau of Canada has initiated legal proceedings against Google, alleging anti-competitive practices in the online advertising sector. The Bureau's investigation concluded that Google has leveraged its dominant position to limit competition by tying its ad tech tools together and manipulating auction dynamics. This conduct is said to have restricted competitors, inflated advertising costs, and reduced revenues for publishers.

The Bureau has filed an application with the Competition Tribunal seeking several remedies. These include requiring Google to divest two of its ad tech tools, imposing a financial penalty, and prohibiting further anti-competitive practices. The Tribunal will make the final decision on these requests.

This legal action follows a series of investigations by the Bureau into Google's business practices, with previous court orders obtained in 2021 and earlier this year to advance these inquiries. The Bureau's efforts aim to address the decline in competitive intensity in Canada, which it argues deprives businesses and consumers of benefits such as lower prices and greater innovation.