December 20, 2007
Barton Evaluating Google Merger Implications
A spokeswoman for the House Energy and Commerce Committee told National Journal today that the committee expects a formal response from Google to a recent letter [PDF] from top Republican Joe Barton of Texas concerning Google's proposed $3.1 billion acquisition of Internet advertising server DoubleClick on Friday.
Barton had addressed 24 questions concerning privacy and consumer protection aspects of the deal to Eric Schmidt, chairman and CEO of Google.
"The two staff attorneys who deal with these matters visited Google headquarters earlier this week and have returned to Washington," said Lisa Miller, Republican communications director for the House Energy and Commerce Committee. "They collected substantial information which now requires analysis. Additionally, we expect Google's formal response to written questions tomorrow. That, too, likely will require a careful reading before we can reach any conclusions."
Utah Sen. Orrin Hatch told National Journal that he still has a number of concerns about this transaction, "especially as it relates to competition and privacy."
"Given the relative youth of the Internet, a merger of this kind is unprecedented and no one can predict how it will affect the industry," Hatch continued. "I encourage the FTC to keep a watchful eye on how this merger proceeds, ensuring that no harm comes to consumers."
Meanwhile, the Electronic Privacy Information Center, a past critic of the proposed acquisition, spoke out against the FTC decision to clear the merger.
EPIC Executive Director Marc Rotenberg said the group will bring its concerns related to the FTC's review of the deal "to the appropriate congressional oversight committees that are responsible for the agency's funding and statutory authority."
"We remain troubled by the role of the Jones Day law firm in this proceeding. The ties between the FTC and the Washington office of Jones Day are everywhere apparent, even leading up to the recent hiring by Jones Day of key commission staff while the merger review was taking place," Rotenberg wrote.
"This should be investigated," he said today.
The FTC has responded to a recent complaint from EPIC and the Center for Digital Democracy on the relationship between the FTC and the law firm reportedly advising DoubleClick on the deal's antitrust issue.
-Winter Casey, National Journal
