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Speculation surrounds FTC plans on Google/AdMob merger

Stuart Dredge
Speculation surrounds FTC plans on Google/AdMob merger

Sworn declarations from rivals spark suggestions that deal could be derailed.

The US Federal Trade Commission is asking rivals of Google and AdMob to make sworn declarations of their views on whether the two companies' merger should go ahead, reports Bloomberg.

It's part of the ongoing FTC investigation into whether the merger will reduce competition in the mobile advertising market.

"It’s difficult to envision a scenario where this development, if true, is positive for Google-AdMob," antitrust lawyer Thomas Ensign tells the website. "But it doesn’t necessarily mean the agency is going to challenge the deal."

Google has refused to discuss the details of the investigation, although its spokesman Adam Kovacevich says that the company is "confident that they’ll conclude that the rapidly growing mobile advertising space will remain highly competitive after this deal closes".

The merger was announced on 9th November last year, but has yet to close.

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It's a nerve-wracking time for both companies, with Apple having completed its acquisition of AdMob's rival Quattro Wireless, and forged ahead with its plans to integrate ads into the iPhone SDK.

Tags: google , admob