[epicide]

> The search business would also be free to auction ad space to other providers.

Doesn't that make them an ad business?

[ailideex]

I agree, to me it seems like that really does not change anything except it mandates one more middle man.

[GordonS]

Yep, it just makes what likely already operates as an "internal" customer an "external" one. Not really sure how it helps with competition?

[iainmerrick]

That’s exactly the point, to make that internal customer external, and make any special access or APIs they have available to competitors on an equal footing.

[echelon]

It makes them like the New York Times, which sells ad real estate. It's a much different business.

[ailideex]

Is that not what google's ad business does already? Not sure where the difference is actually. Basically the request seems to be:

Pre Split:

  - Company A
    - provides: search
    - sells: ad space

Post Split:

  - Company A
    - provides: search
    - sells: ad space
  - Company B
    - (re-)sells: ad space

Seems like this solves nothing and can be repeated ad infinitum. There are many companies which already does what Company B does - what exactly will this fix?

[iainmerrick]

Here’s a question that may clarify: who runs the ad auction?

If post-split that’s company B, I’d argue that is a genuinely new structure with some different properties.

Company A would still have an ads team to manage the integration, but they would explicitly outsource ad selection to (potentially) multiple partner companies.