Internet Marketing Monitor
August 16, 2007
Filed Under (Microsoft, Google) by Derick on 08-16-2007

I guess it’s Microsoft’s turn to meddle in Google’s governmental affairs. From the Associated Press (via ArsTechnica):

Microsoft Corp. hired Patton Boggs LLP to lobby the federal government on Google Inc.’s $3.1 billion buyout of online advertising company DoubleClick Inc., according to a disclosure form.

Microsoft has been all over the DoubleClick deal since day one. Along with a handful of other large technology companies, Redmond helped prompt the FTC to open investigations into privacy impact of the proposed Google + DoubleClick merger. Congress also plans to conduct its own investigation into the merger.

The lobbying originally appeared to have backfired when the FTC decided to investigate Microsoft and Yahoo!, who were planning their own similar advertising-related acquisitions, as well. Microsoft was recently cleared by the government to proceed with its advertising aqcuisition. That deal was completed on Monday.

Google can’t claim it hasn’t caused Microsoft similar legal grief. For months Google has been trying to force itself into Microsoft’s anti-trust settlement. The company originally filed a complaint alleging that desktop search features in Microsoft’s Windows Vista operating system were anti-competitive. After a brief investigation, Microsoft decided to make some changes to Vista that would allow users to set competing desktop search applications as their defaults.

But Google said that wasn’t enough.

When the government all but brushed Google’s concerns aside, the search company went straight to the judge overseeing the case - who promptly sent them back home and accused them of trying to circumvent proper channels. So Google decided to file a request to join the case so that it’s voice would be heard.

So now you know what happens when two companies, who are too powerful for their own good, decide to declare war on one another. They both have the financial resources to do serious harm to one another and make life for the other difficult. Granted, Microsoft’s pockets are deeper - but Google may have the upper hand in resourcefulness.

Do you think Microsoft’s lobbying efforts will affect the Google/DoubleClick deal? Is Microsoft using concern for the people as a ploy to legislatively compete with Google?

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