Google avoids ad-tech breakup despite illegal monopoly ruling

Google will not be forced to sell its AdX advertising exchange after a US federal judge rejected the Justice Department’s bid to break up parts of the company’s ad-tech business, despite previously finding that Google illegally monopolised key digital advertising markets.

US District Judge Leonie Brinkema on September 2 declined to order Google to divest AdX, instead accepting behavioural remedies aimed at increasing competition in online advertising. A detailed ruling outlining the measures will be released after confidential information is redacted.

Google had proposed measures, including giving rival ad exchanges real-time access to bids.

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The decision follows Brinkema’s April 2025 ruling that Google illegally acquired and maintained monopolies in two markets underpinning open-web advertising: publisher ad servers, which websites use to manage advertising inventory, and ad exchanges, which conduct real-time auctions between publishers and advertisers.

At the centre of the case is Google AdX, the company’s exchange connecting publishers with advertisers. Publishers pay Google a 20% fee to sell advertising through AdX.

The court previously found that Google unlawfully tied its publisher ad server to AdX, effectively pushing publishers towards using both products and restricting the ability of rival ad exchanges to compete.

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Following that ruling, the US Department of Justice sought structural remedies, arguing that Google should be forced to sell AdX because behavioural restrictions alone would not restore competition. Google argued that separating its interconnected ad-tech products would be technically difficult and could disrupt publishers and advertisers.

Google welcomed the decision, saying the court had rejected proposals to break apart tools used by businesses to reach customers. The Justice Department said it was pleased the court had ordered “substantial relief” and was evaluating its next steps.

The ruling marks another setback for US regulators seeking structural breakups of Big Tech companies.

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A separate judge previously rejected the Justice Department’s attempt to force Google to sell Chrome after finding it held an illegal monopoly in online search. The Federal Trade Commission also failed in its initial attempt to force Meta to divest Instagram and WhatsApp, although it has appealed that decision.

For the advertising industry, the latest ruling means Google retains ownership of the interconnected ad-tech infrastructure at the heart of the case, even as it faces new restrictions on how that infrastructure can operate.