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Australia Decides to Limit Google’s Dominance in Advertising Market
Australian Competition and Consumer Protection Commission (ACCC) is considering giving users the right to choose which data they share with advertisers from companies like Google.
REUTERS / Dado Ruvic
Australian regulator also proposes to limit the ability of internet giants to access online user history for cross-selling products.
These proposals were outlined in the AU $ 3.4 billion ($ 2.6 billion) Australian digital ad market report by the ACCC, which the regulator said is lacking in competition, transparency and choice.
ACCC estimates Google’s share of Australia’s digital ad revenues between 50% and 100%, depending on the service.
“Google is the only one who can measure the effectiveness of an ad, so very often it marks itself as a benchmark for the effectiveness of the ad it delivers,” ACCC Chairman Rod Sims told Reuters in a telephone interview, adding that in the Australian market one player actually dominates.
In a 222-page report on digital advertising released on Thursday, the regulator also proposed a system whereby personal information of users would be more widely shared with advertisers on an anonymous basis to increase competition.
Allowing internet users to give other companies access to click information could also foster competition between online ad providers, ACCC said.
The report added that banning tech companies from using data collected from one scenario to sell ads in a non-related space would also reduce a single player’s ability to dominate the digital ad market.
ACCC’s proposals that Google should pay local media for content that drives traffic to their websites were included in a government bill. In response, Google threatened to remove its search engine from the Australian market if the law was passed.