[grues-dinner]

> Peter Thiel's claim that google is a search advertising monopoly masquerading as a (competitive, non-monopoly) technology company

That's not a very deep insight, it's been pretty obvious since they bought out DoubleClick in 2007.

[prasadjoglekar]

At this point in 2024/25, it's obvious to the point of multiple antitrust lawsuits against Google.

If you want a POV on the most recent one involving Doubleclick, listen to the first part of this podcast with Brian Kelley of App Nexus - a competitor to Google ad tech.

https://m.youtube.com/watch?v=xm8gPuwqFHk

[fuzzy_biscuit]

Don't forget when Google bought Urchin in '05. It's all been a part of the same broad strategy.

[Over2Chars]

I agree, I think it's not a deep insight, but Thiel notes (in his 'zero to one' speech he gave) that Google actively pretends not to be a search advertising monopoly, and instead pretends to be a competitive technology company, in a wide range of technology fields, to "hide" their monopoly.

Thiel is openly advocating monopolies, and says competition is for losers.

I think he's just calling GOOG out for their marketing, and noting their market strategy to deflect attention away from their monopoly.

I, for one, have never heard anyone publicly mention this besides Thiel. Have you?

[alephnerd]

I'm not sure I buy Thiel's argument becuase plenty of their non-search businesses such as Google Cloud, GSuite, Waymo, and Verily have become pretty successful in their own right, and vertical integration is another form of monopoly that tends to cracked down on.

[whatshisface]

If I had a monopoly on sugar and traded in silver and healthcare, I would still have a monopoly on sugar.

[tsunamifury]

Yea but diversification is a critical business strategy not just a marketing ploy

[brookst]

Yeah there are far cheaper ways to “distract” from a monopoly than building Waymo from scratch. Alleging that whole project exists only as a smokescreen is pretty conspiratorial thinking.

[tsunamifury]

I have had drinks with Peter Thiel. If you force him to answer more than one question about his theories it totally falls apart. Mostly the logic actually goes like this: oh if it doesn’t work I have the money to survive it and you don’t so I still win and claim I was right.

I wish more people understood this.

[Over2Chars]

Check out the big blue box. I think Thiel's point is spot on:

https://www.statista.com/statistics/1093781/distribution-of-...

[wbl]

Vertical integration is very proconsumer as it reduces successive markups.

[BobaFloutist]

Until they drive competitors out of business, and then it's not. Much like the horizontal integration of, say, Walmart.

[wbl]

When the prices are low it's predatory, the same it's collusion and higher it's exploiting the monopoly.

[WeylandYutani]

I never had the illusion that Google makes their money from Pixel phones... It was always advertising.

[Over2Chars]

You are keenly insightful in this age of the willingly blind.

Their technology products are free/low cost ways to get you to voluntarily opt in to their surveillance advertising model.

[dartos]

I mean… they’re as much search as Amazon is retail, no?

Doesn’t GCP bring in big bucks?

Not to mention gsuite. If your company don’t use Microsoft office they use gsuite.

[Over2Chars]

The big blue block is search advertising revenue:

https://www.statista.com/statistics/1093781/distribution-of-...

the much smaller black box is GCP. Much smaller. much much smaller.