MEP urges Commission to double-click on Google deal

The European Commission is being urged by MEPs to follow the lead of the US Federal Trade Commission (FTC) in its investigation of the Google-DoubleClick merger.

The Commission announced last month a full-scale investigation of the €2.2 billion deal between Google, the world’s most popular search engine, and DoubleClick, which tracks online advertising, focusing solely on the potential market impact of the merger. The FTC’s probe is said to be broader in scope, taking in data protection concerns as well as competition issues.

Dutch Liberal MEP Sophie in ’t Veld is aiming to bring together representatives from data protection watchdogs, consumer organisations and the Commission for a hearing on the matter on 21 January. She is also trying to secure the presence of the FTC, the US’ antitrust watchdog.

"One conclusion we should reach is that if the European Commission is looking into this, then like the US they should look at the privacy aspects," the MEP said. "We are often complaining that the US is imposing its rules in the fight against terrorism and they are complaining that we are imposing our standards in competition. This would be a very good case on which to start working together more closely."

The hearing, to be hosted by the European Parliament’s committee on civil liberties, justice and home affairs, will look at whether the merger will increase Google’s control over personal data and open the door to violations of privacy rights.

Microsoft has been increasingly vocal about the dangers of the merger, warning that the search engine would eventually control 80% of the online advertising market, exploiting the world’s largest databases of online user data to target advertising at unsuspecting consumers.

The Commission argues that it would be unlawful to include data privacy concerns in the scope of a competition probe. The results of its investigation are expected in April. EU regulators are said to have been overwhelmed with comments from publishers and advertisers fearing that the deal will transform Google into a gatekeeper for the online advertising market.

In parallel to the controversy over the merger, the EU’s advisory body on data protection matters, the article 29 working party, is investigating Google and other search engines over their data retention policies. Under pressure from the working party, Google has already pledged to destroy all identifiable data after 18 months.

Gabriele Loewnau, a senior legal adviser for the German data protection watchdog, said that most search engines had responded to a questionnaire sent out by the working party earlier this year. A report will be issued in the first quarter of 2008. According to Loewnau, Peter Schaar, head of the article 29 working party, is expected to attend Parliament’s hearing next month.

The European Commission is being urged by MEPs to follow the lead of the US Federal Trade Commission (FTC) in its investigation of the Google-DoubleClick merger.