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Google draws privacy complaint to FTC

Three public-interest groups are expected to file a joint complaint on Friday with the Federal Trade Commission calling for an investigation into the potential threat to consumer privacy posed by Google's planned acquisition of DoubleClick.

CNET News.com Stefanie Olsen

Context & Ripple Effects

Google's planned acquisition of ad firm DoubleClick has put the company's expanding data footprint under scrutiny, and three public-interest groups are taking the fight to the regulator with a joint Federal Trade Commission complaint calling for an inquiry into the consumer privacy threat they see in combining Google's search data with DoubleClick's ad-serving reach.

First-order effects

  • The FTC must now decide whether to open a formal investigation into the privacy implications of the Google-DoubleClick combination before clearing the deal.
  • The three public-interest groups convert their opposition into procedural leverage, forcing Google to defend the acquisition on data-combination grounds rather than market power alone.

Second-order effects

  • If the FTC opens the probe, any rival ad network pursuing similar search-plus-advertising data combinations faces the same scrutiny by extension, raising the compliance bar across online advertising.
  • Google's recent push on user-facing controls — including its newly launched [[a:none|content removal tools]] for stripping pages and cached copies from search — becomes part of its privacy defense, tying product policy directly to deal approval.

Third-order effects

  • If the pattern holds, consumer-privacy objections become a routine input to antitrust review of data-driven acquisitions, structurally raising the cost of merging large behavioral datasets regardless of traditional market-share math.

The trend: Privacy advocacy is emerging as a decisive lever in regulator review of data-rich acquisitions, starting with Google's bid for DoubleClick.