WASHINGTON, D.C. — On Monday, June 23, the Federal Trade Commission (FTC) announced measures to resolve antitrust concerns associated with Omnicom Group Inc.’s $13.5 billion acquisition of The Interpublic Group of Companies, Inc. (IPG). The merger, uniting two of the largest media buying advertising agencies in the U.S., positions the combined entity as the world’s largest in the sector.
The FTC has accepted a proposed consent order to prevent potential anticompetitive behavior resulting from the merger. Omnicom, which facilitates media buying and executes advertising campaigns on behalf of advertisers, will now face restrictions aimed at prohibiting collusion or coordination to withhold advertising based on media publishers’ political or ideological viewpoints.
“Websites and other publications that rely on advertising are critical to the flow of our nation’s commerce and communication,” said Daniel Guarnera, Director of the FTC’s Bureau of Competition. “Coordination among advertising agencies to suppress advertising spending on publications with disfavored political or ideological viewpoints threatens to distort not only competition between ad agencies, but also public discussion and debate. The FTC’s action today prevents unlawful coordination that targets specific political or ideological viewpoints while preserving individual advertisers’ ability to choose where their ads are placed. I thank the FTC staff for their thorough investigation of this merger.”
The FTC alleged that the merger raises risks of further consolidation in the U.S. media buying services market, potentially increasing the likelihood of collusion among the few dominant advertising agencies. The industry has previously coordinated through associations to restrict advertising on certain platforms, impacting publishers’ revenue and ability to invest in content.
Under the terms of the proposed consent order, Omnicom is barred from denying advertising on the basis of political or ideological viewpoints unless expressly directed by individual advertiser clients. This provision is designed to safeguard competition, ensure media publishers are not unfairly targeted, and uphold advertisers’ independence in ad placement decisions.
The FTC’s actions signify its commitment to maintaining a competitive and transparent marketplace for media buying while addressing potential antitrust risks posed by mergers of this scale.
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