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Digital Advertising: America is making a new law, trying to divide the digital advertising business of Google-Facebook

Understand from the example of Google, it fixes the prices of things online, auctions them, also shows its advertisement. Also sells the products of various companies and also helps other companies in buying and selling advertisements. If a new law is made, then it will have to distribute all this work among different companies.

US lawmakers have introduced a new bill in the Senate to break the advertising business of big tech companies including Google, Facebook. If this law is enacted, the tech company running ‘exchange’ to give many types of digital advertisements and earning more than $ 2,000 million or about Rs 1.55 lakh crore annually may have to break its business into many companies.

Big tech and social media companies, including Google and Facebook, get 80 to 90 percent of their revenue from digital ads. Google alone earned $ 20,949 million in FY 2021. The bill, called ‘Transparency and Competition in Digital Advertising’, has been supported by both Democrats and Republican lawmakers. It is getting support from 16 states of America. Google, on the other hand, claims that if this law is enacted, not only will users, companies and content creators suffer, but privacy may also be at risk.

Why such a law?
Google and Facebook have been accused of abusing their monopoly in business activities for many years. Wrong policies in digital advertising are hurting the competition.

If it becomes law then it will be
Understand from the example of Google, it fixes the prices of things online, auctions them, also shows its advertisement. Also sells the products of various companies and also helps other companies in buying and selling advertisements. If a new law is made, then it will have to distribute all this work among different companies. It will also have an impact on Facebook and many other companies.

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