"The Federal Trade Commission has launched an investigation into whether Amazon and Alphabet, Google's parent company, misled advertisers who place ads on their websites. The federal agency is looking into whether Amazon and Google properly disclosed the pricing structure of their ads to potential advertisers, according to Bloomberg. It is looking into whether Amazon's advertising "auctions" made advertisers aware of "reserve pricing," or price floors they must meet in order to buy an ad."
"The scrutiny came as technology companies found some relief in President Donald Trump's second term. Tech CEOs have paraded through the White House and halls of government this year to curry favor with the president, including at a State Dining Room dinner last week, in an effort to halt federal investigations and stave off potential tariffs. But FTC chairman Andrew Ferguson, a Republican who has sought to "end Big Tech's vendetta against competition and free speech," has kept the sector in his purview."
The Federal Trade Commission opened an investigation into whether Amazon and Alphabet misled advertisers about ad pricing structures on their platforms. The probe examines whether Amazon's ad auctions disclosed reserve pricing and price floors and whether Google's internal pricing disclosed increases to advertisers. The Amazon inquiry stems from a broader antitrust probe into alleged monopolization of online services, with that case slated for federal trial in early 2027. FTC chairman Andrew Ferguson has maintained scrutiny of major tech firms and warned companies to protect Americans' data security. The FTC and the companies declined or did not provide immediate comment.
Read at TheWrap
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