Google's DoubleClick acquisition "major setback" for privacy advocates

Stuart Corner
Wednesday, 12 March 2008 01:09

Your IT - Home IT

Google has consummated its acquisition of online ad serving and technology company DoubleClick, following approval from the European Union, but the EU's statement that it gave no consideration to the privacy implications of the merger has been described as a major setback for privacy advocates. The deal was announced in April 2007 and almost immediately generated a storm of protest over both the antitrust   and the privacy   implications. Gartner research VP, Andrew Frank in a Gartner blog   said the decision came as no surprise but "More noteworthy, however, was the Commission's statement that 'privacy considerations are outside the scope of its authority over mergers'."

Announcing closure of the deal, Google said: "The world's top marketers, publishers and agencies utilise DoubleClick's expertise in ad serving, rich media, video, mobile, search and affiliate marketing to help them make the most of the digital medium. From its position at the nerve centre of digital marketing, DoubleClick provides superior insights and insider knowledge to its customers."

Google CEO, Eric Schmidt, said: "With DoubleClick, Google now has the leading display ad platform, which will enable us to rapidly bring to market advances in technology and infrastructure that will dramatically improve the effectiveness, measurability and performance of digital media for publishers, advertisers and agencies, while improving the relevance of advertising for users."

Gartner research VP, Andrew Frank in a Gartner blog   said the decision came as no surprise but "More noteworthy, however, was the Commission's statement that 'privacy considerations are outside the scope of its authority over mergers'."

He added that the FCC had made a similar statement (however one commissioner did note   "both the serious vertical competition issues raised by Google's proposed acquisition of DoubleClick as well as the substantial privacy issues that, though in part brought to light by the deal, clearly transcend it." CONTINUED