FTC expected to rule on Google, AdMob tomorrow
updated 10:55 pm EDT, Tue May 4, 2010
FTC decision on AdMob coming Wednesday
The FTC is on the verge of making a decision on Google's AdMob takeover, a last-minute leak found tonight. Officials are expected to either clear the deal or block it on Wednesday, likely involving a lawsuit. A TechCrunch source further claimed that Google was already prepared to defend itself against a lawsuit rather than cancel the agreement.
While nothing has been confirmed about the FTC's leanings, most rumors point to the commission opposing the deal on antitrust grounds. AdMob is the single largest mobile advertiser and would be combined with the world's overall search leader on the desktop. FTC investigators are reportedly concerned the merger would give Google too much sway over advertising on all platforms.
Other companies aren't necessarily opposed to the deal as other alternatives exist. Apple hasn't provided its opinion in public but is likely to resist the takeover as it would create stiff competition for its upcoming iAd platform for the iPhone. Its acquisition of Quattro Wireless was made in response to losing a bid for AdMob only to see Google acquire the company days later.
