ACCC v Google LLC

Facts and summary

The ACCC has launched an action against Google alleging misleading conduct in relation to the expanded use of personal data:

ACCC media release

In particular, The ACCC alleges:

“Google misled consumers when it failed to properly inform consumers, and did not gain their explicit informed consent, about its move in 2016 to start combining personal information in consumers’ Google accounts with information about those individuals’ activities on non-Google sites that used Google technology, formerly DoubleClick technology, to display ads.

This meant this data about users’ non-Google online activity became linked to their names and other identifying information held by Google. Previously, this information had been kept separately from users’ Google accounts, meaning the data was not linked to an individual user.

Google then used this newly combined information to improve the commercial performance of its advertising businesses.

The ACCC also alleges that Google misled consumers about a related change to its privacy policy.

“We are taking this action because we consider Google misled Australian consumers about what it planned to do with large amounts of their personal information, including internet activity on websites not connected to Google,” ACCC Chair Rod Sims said.

“Google significantly increased the scope of information it collected about consumers on a personally identifiable basis. This included potentially very sensitive and private information about their activities on third party websites. It then used this information to serve up highly targeted advertisements without consumers’ express informed consent,” Mr Sims said.

Market power

Although this is a consumer action, much of the concern arises from Google’s market power and, in particular, its use of what was previously known as DoubleClick (Which Google acquired in 2008 and rebranded into the new Google Marketing Platform brand in 2018, including ‘Search Ads 360’).

ACCC Chair, Rod Sims, explained the ACCC’s concerns in this radio interview:

‘Australia’s consumer watchdog launches legal action against Google’ (RN Breakfast with Fran Kelly, 28 July 2020)