Google’s Dominance in Digital Advertising in Mexico: Pending Resolution

Web Editor

May 7, 2025

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Introduction

The digital economy has reshaped global power structures, with major technological platforms not only controlling social interaction and information access but also increasingly dominating significant digital economic flows, such as advertising. Among these players, Google has built a closed ecosystem and engaged in anti-competitive practices that have raised regulatory concerns in various countries. Mexico cannot remain unaffected.

The Call for Action in Mexico

Senator Ignacio Mier from the Morena party recently presented a point of agreement urging the Federal Economic Competition Commission (Cofece) to issue a resolution regarding the 2020 investigation against Google for potential monopolistic practices in digital advertising. With digital ad revenues surpassing $6 billion annually in Mexico, it is crucial to halt the consolidation of a dominant and closed model that directly impacts competition, ensures the survival of tech startups and independent media, and maintains internet content plurality and diversity.

The US Case Against Google

The push for action stems not only from local pressure but also from recent advancements in the US case against Google.

In late April 2025, the Department of Justice (DOJ) concluded the evidence phase in a lawsuit against Google for abuse of power within the digital advertising ecosystem. The accusation is serious, as Google has been identified for manipulating rules to favor its platforms—such as Google Ads, Ad Manager, and AdX—excluding competitors and preventing advertisers and publishers from negotiating on equal terms.

This lawsuit has exposed internal documents, contract agreements, and business decisions revealing a deliberate strategy for total control over the digital advertising cycle.

International Lessons

Google’s case is not unique; regulatory authorities in countries like France, the UK, and the European Union have initiated legal and administrative actions against Google for similar practices. France imposed hefty fines for abuse of dominant position, while the UK’s Competition and Markets Authority (CMA) launched formal investigations into Google’s management of its advertising services.

In the European Union, Google has received multiple fines for anti-competitive practices, favoring its services in the digital advertising market, search results, and restricting competition in its app store.

These international actions clearly indicate a global rebalancing of power in digital markets.

Mexico’s Position

The Senate point of agreement does not preempt judgment or prematurely condemn a company. Instead, it demands that the responsible authority fulfill its mandate and determine if Google indeed engaged in anti-competitive practices. If confirmed, Cofece would need to establish structural corrective measures ensuring a more transparent and equitable market.

Resolving this case would set a crucial precedent for Mexico’s digital economy, fostering an ecosystem where all participants can engage on balanced terms.

Key Questions and Answers

  • What is the issue? Google’s dominance in digital advertising and alleged anti-competitive practices.
  • Why is this important? It impacts competition, startup survival, independent media, and internet content diversity in Mexico.
  • What is the call to action? Senator Ignacio Mier urges Cofece to issue a resolution on the 2020 investigation against Google.
  • What are international lessons? Regulatory actions against Google in the US, France, UK, and EU highlight a global shift towards balanced digital market power.
  • What does resolving this case mean for Mexico? It sets a precedent for a more transparent and equitable digital market in Mexico, fostering balanced participation.