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Google's Acquisition of AdMob Delayed for Further FTC Scrutiny

Google today announced that the U.S. Federal Trade Commission has requested additional information on the company's proposed acquisition of mobile advertising firm AdMob as the regulatory agency continues to investigate the appropriateness of the deal.

As we said when we announced the deal, we don't see any regulatory issues with this deal, because the rapidly growing mobile advertising space is highly competitive with more than a dozen mobile ad networks.

That said, we know that closer scrutiny has been one consequence of Google's success, and we've been talking to the U.S. Federal Trade Commission over the past few weeks. This week we received what's called a "second request," which means that the FTC is asking for more information so that they can continue to review the deal.

Apple and AdMob had reportedly met in the weeks before the deal with Google was announced, as Apple was apparently considering making its own offer to acquire AdMob. AdMob is currently the world's largest mobile advertising company, and thus a major player in the iPhone development community.

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28 months ago
Really? Doesn't google have enough money to buy this...

I am sure Google will get the deal done in the end. Big companies always get their way with the FTC.
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28 months ago
Hopefully, Google gets prevented from buying them. This isn't about Apple succeeding, it's about Evil Google failing.
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28 months ago

Really? Doesn't google have enough money to buy this...

I am sure Google will get the deal done in the end. Big companies always get their way with the FTC.


apple's revenue is higher, but google's profit margins are better than apples..

that means apples gross profit is $13.4 billion, while Google's is $13.17 Billion..

so yes, Google has enough money. They're closer than you think.
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28 months ago
Guess Google didn't spend enough in donations the last campaign.
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28 months ago
Google will fail at the FTC, it's already a Monopoly holder in the internet Advertising market. Admob will only make that worse.

FTC will deny it and Apple will then step in and make the offer. Bang, Apple wins!

-LanPhantom
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28 months ago

Hopefully, Google gets prevented from buying them. This isn't about Apple succeeding, it's about Evil Google failing.


Ya it's cool when American Companies fail! Whatever!
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28 months ago
I would trust apple a hell of a lot less of not abusing abmob than google. I would see apple using it to strong arm devs into only making apps for the iPhone and only allow it to be used on the iPhone. Mix that with how popular the iPhone apple could really do some damage
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28 months ago

Google will fail at the FTC, it's already a Monopoly holder in the internet Advertising market. Admob will only make that worse.

FTC will deny it and Apple will then step in and make the offer. Bang, Apple wins!

-LanPhantom


In the past, a majority of companies that go through the "second request" have been approved.

AdMob estimated revenue per year is around $45 to $60 million. This company is too small for google to get rejected over it.
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28 months ago
i'm surprised google can't afford it
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28 months ago

i'm surprised google can't afford it


It's not a question of whether Google can afford it. These reviews happen because the government wants to look at the legality of the deal. For example, to make sure that a monopoly isn't being created.

I think society would be better off if Google were broken up. But they don't fit the legal definition of a monopoly in online advertising, so this transaction will probably sail through.
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