FTC querying Google rivals about AdMob acquisition

The Federal Trade Commission is reportedly seeking sworn declarations from Google's competitors and advertisers as it continues to probe the digital services giant's proposed $750 million acquisition of mobile advertising network AdMob, a sign indicating regulators may challenge the deal. Citing sources with direct knowledge of the investigation, Bloomberg reports the FTC is looking into whether the Google/AdMob agreement would compromise the competitiveness of the mobile advertising market, and has asked at least two companies to sign statements. FTC officials typically collect declarations "when they think there is some significant chance" the agency will move to prevent a merger or modify a deal, according to Stephen Calkins, a former FTC general counsel currently serving as a professor of law at Wayne State University. However, Calkins also tells Bloomberg that it is not unusual for the FTC to collect affidavits and then not litigate. An agency spokesperson declined comment.

"We're not going to discuss the details of that process," a Google spokesperson said in a statement. "We're confident that they'll conclude that the rapidly growing mobile advertising space will remain highly competitive after this deal closes."

Google announced its intentions to acquire AdMob late last year, stating the deal would enhance its expertise in the growing mobile ad segment. In December, the Wall Street Journal reported the FTC was reviewing the agreement, noting that at that time the review appeared procedural, with no indication the FTC had identified potential antitrust concerns. Two years ago, the FTC reviewed Google's $3.1 billion proposal to purchase display advertising company DoubleClick, later clearing the transaction--the Journal noted DoubleClick and AdMob are similar types of companies, with both specializing in serving and targeting graphical ads across digital platforms.

For more on the FTC investigation:
- read this Bloomberg article