Facebook CEO
Lawsuit: Google, Facebook CEOs colluded in online ad sales
Newly unredacted documents from a state-led antitrust lawsuit against Google accuse the search giant of colluding with rival Facebook to manipulate online advertising sales. The CEOs of both companies were aware of the deal and signed off on it, the lawsuit alleges.
The original, redacted lawsuit, filed in December 2021, accused Google of “anti-competitive conduct” and of teaming up with the social networking giant. But the unredacted version offers details on the involvement of Alphabet CEO Sundar Pichai and Facebook CEO Mark Zuckerberg in approving the deal. Facebook has since renamed itself Meta.
According to the lawsuit, Facebook’s chief operating officer, Sheryl Sandberg, was “explicit that ‘this is a big deal strategically’” in a 2018 email thread about the deal that included Facebook’s CEO. While the names of the Facebook executives are still redacted in the suit, their titles are visible.
When the two sides hammered out the terms of the agreement, “the team sent an email addressed directly to CEO” Zuckerberg, the lawsuit states.
“We’re nearly ready to sign and need your approval to move forward,” the email read, according to the complaint. Zuckerberg wanted to meet with Sandberg and his other executives before making a decision, the complaint states.
In a statement, Google spokesperson Peter Schottenfels said the lawsuit is “full of inaccuracies and lacks legal merit.”
In September 2018, the complaint says, the two companies signed the agreement. Sandberg, who was once the head of Google’s ad business, and Pichai personally signed off on the deal, per the states’ complaint.
Meta spokesperson Chris Sgro said Friday that the company’s ad bidding agreement with Google and similar agreements it has with other bidding platforms “have helped to increase competition for ad placements.”
Read:Plenty of pitfalls await Zuckerberg’s ‘metaverse’ plan
“These business relationships enable Meta to deliver more value to advertisers while fairly compensating publishers, resulting in better outcomes for all,” Sgro said.
Internally, Google used the code phrase “Jedi Blue” to refer to the 2018 agreement, according to the lawsuit. Google kept this code phrase secret.
Google’s Schottenfels said the lawsuit’s allegation that Pichai approved the deal with Facebook “isn’t accurate.”
“We sign hundreds of agreements every year that don’t require CEO approval, and this was no different,” he said, adding that the agreement “was never a secret.”
Read:In the middle of a crisis, Facebook Inc. renames itself Meta
The lawsuit is led by Texas Attorney General Ken Paxton and was joined by the attorneys general of Alaska, Arkansas, Florida, Idaho, Indiana, Kentucky, Louisiana, Mississippi, Missouri, Montana, Nevada, North Dakota, Puerto Rico, South Carolina, South Dakota and Utah.
2 years ago
Facebook blocks Australians from accessing news on platform
Facebook announced Thursday it has blocked Australians from viewing and sharing news on the platform because of proposed laws in the country to make digital giants pay for journalism.
3 years ago
Australia to amend laws to make Google and Facebook pay
Australia’s government said on Tuesday it will amend draft laws that would make Google and Facebook pay for news to clarify that publishers would be paid in lump sums rather than per click on news article links.
3 years ago
From toast of town to toxic: Facebook CEO on outs with Dems
Mark Zuckerberg's social network in Washington is shrinking.
5 years ago