Google’s $750 million purchase of AdMob is being delayed by the FTC.
On its Public Policy blog Google (GOOG) writes, “the FTC is asking for more information so that they can continue to review the deal.”
This is the FTC’s second request to review the deal. At the start of the month, the FTC began a preliminary investigation.
The fear is Google and AdMob together will flatten the mobile advertising landscape. Google swears the mobile ad space will remain competitive.
This comes to light a day after Kara Swisher reported Microsoft might try to use regulators to slow down Google’s big acquisition plans. There’s an outside chance Apple could be lobbying to slow this down too, since it was interested in AdMob, as well.
We doubt the FTC will reject the deal, but it will delay Google’s plans for the short term. Rebecca Arbogast analyst at Stifel Nicolaus says in a note, “at a minimum, the second request means it will likely take several months before the antitrust review is completed.”