Google & Doubleclick Get FTC Go Ahead

US market regulators have today given the green light to the proposed takeover of online media company Doubleclick by search engine and advertising giant Google, in a move that is thought to be worth over $3 billion and has been some time in the making.

The move was presented before the Federal Trade Commission after suspicions that it may adversely impact upon competition in the online advertising industry, however this has today been ruled not to be the case and the move has been allowed to proceed as initially intended.

The proposals have fallen for harsh criticism by rival companies Microsoft and AT&T, who have sought to exert pressure on authorities to investigate whether the takeover would compromise the spread of online advertising competition and whether this would potentially cause problems for the industry as a whole.

Doubleclick currently brings together media agencies and website publishers with a view to displaying advertising content, whilst Google focusses mainly on the Pay Per Click advertising model in linking independent web publishers and search results with sponsored, relevant listings.

It is thought that whilst both services are not exactly the same, integration would be relatively easy given the strong similarities between the two companies, both of which have proven track records of providing value to advertisers and publishers alike online.

However, despite clearance by the US authorities the European Commission is still currently investigating the arrangement on similar grounds, which is thought could hold off the takeover move even longer for Google after it announced it would wait for clearance from Europe prior to completing the multi billion dollar move.

It remains to be seen whether the deal will receive the blessing of the European Commission, and whether it will subsequently proceed smoothly to benefit mutually both businesses involved.

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