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U.S. antitrust regulators are taking a closer look at Google Inc.’s proposed $750 million purchase of mobile phone marketer AdMob, the latest sign of greater government vigilance as Google tries to expand its advertising empire.<\/p>\n
\nThe Federal Trade Commission sought more information about the deal this week, according to a Wednesday post on Google’s blog.<\/p>\n
\nThis so-called “second request” doesn’t mean regulators intend to block Google’s AdMob deal. Most other acquisitions that go through this stage end up getting approved.<\/p>\n
\nBut the FTC’s action shows regulators are watching Google more carefully as the company tries to build upon its dominance of the Internet’s lucrative search advertising market. Google is expected to pull in more than $22 billion in revenue this year, mostly from ads shown alongside search results and other Web content.<\/p>\n
\n“We know that closer scrutiny has been one consequence of Google’s success,” Paul Feng, a Google product manager, wrote in Wednesday’s blog posting. Echoing previous management comments, Feng said the company remains confident its AdMob purchase, announced last month, will be approved.<\/p>\n
\nGoogle’s huge lead in Internet search triggered a 2008 government investigation that scuttled its plans to enter into an advertising partnership with rival Yahoo Inc., which runs the second most-popular search engine. Yahoo plans to work with Microsoft Corp. instead, beginning next year if those two companies can gain regulatory approval.<\/p>\n
\nSince its inception nearly four years ago, AdMob has built a thriving network that sells and delivers ads on applications and Web sites designed for the iPhone and other mobile devices. It’s still relatively small with estimated annual revenue of $45 million to $60 million, but regulators apparently want to understand whether its technology and advertising contacts would give Google an unfair advantage in its quest to sell more mobile phone ads.<\/p>\n
\nGoogle management has indicated that it believes mobile marketing eventually… <\/p>\n
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