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Industry story

Google set out to "co-opt the IAB" on ad blocking. Its witness says that is just how the IAB works.

The IAB sells itself as the industry's neutral standards body. A deposition filed Friday in the Google ad-tech case shows what that neutrality is worth. Scott Spencer, the Google executive who ran the Ad Exchange and then its Better Ads work, wrote to Jonathan Bellack that Google was "looking to co-opt the IAB." Asked under oath whether Google drafted communications that went out under the IAB's name, Spencer said member organizations "commonly" do. Every publisher who adopted a "neutral" standard should ask who held the pen.

Analysis

Showing the shorter version.

The document is Scott Spencer's June 2024 deposition, filed October 24 in Gannett's antitrust case against Google in the Southern District of New York. Spencer ran product for the DoubleClick Ad Exchange (AdX, Google's exchange), then Google's Coalition for Better Ads work, then became VP of privacy and user trust. The IAB's own website still lists him as Google's Director of Product Management for Sustainable Ads, working with the Coalition.

Plaintiffs' counsel showed him an email he forwarded to Jonathan Bellack, who ran DoubleClick for Publishers (DFP, the ad server). It concerned the IAB (Interactive Advertising Bureau, the industry's main trade body) and its proposed response to ad blocking. Spencer testified: "I thought that we could do something better than what they were proposing." The email then says there is a separate thread with Google's official liaisons to industry organizations, and continues: "We are looking to co-opt the IAB. Neal met with [redacted] Tuesday and is confident we will get alignment. Fingers crossed." Neal is Neal Mohan, then head of Google's display ads business and now CEO of YouTube. Asked what "co-opt" meant, Spencer said: "It's a bad choice of terms. I meant that we would convince them that there was a better path."

Then the exchange that every trade body in this industry should read. Asked whether Google drafted external communications "to be sent out by the IAB as if on behalf of the IAB," Spencer answered: "As a member of the IAB, member organizations would commonly draft communications that would then come out from the IAB." Asked whether Google ever deleted references to itself so the IAB would not look like a Google mouthpiece, he answered: "the IAB would know who they were talking to, so the communication may come out from the IAB that was drafted by us or by other members." He did not say no. He said the IAB knows. The reader of an IAB communication does not.

The timeline shows what Google's "better path" turned out to be. In October 2015 the IAB launched LEAN (Light, Encrypted, AdChoices-supported, Non-invasive), and IAB Tech Lab's Scott Cunningham published the "We messed up" paper. That was the trade body's own answer to ad blocking: a voluntary standard, enforced by publishers. Eleven months later, on September 15, 2016, the Coalition for Better Ads launched with Google and the IAB as founding members. The Coalition published the Better Ads Standards in March 2017. On February 15, 2018, Chrome began filtering every ad, Google's included, on sites failing the standard for more than 30 days. Spencer confirms the internal codename, Project Magnolia, and describes it as working "with multiple browsers to block publishers when their ads were not compliant." The IAB proposed a publisher-run standard. Google said it would co-opt the IAB. Google and the IAB co-founded a new body, that body wrote a standard, and Google's browser enforced it against publishers, with Google's Ad Experience Report as the judge.

The same session has a second example of the pattern. In an August 2015 email, Google as a buyer decided to stop bidding on Flash ads in Chrome when the buyer was AdWords or DBM (DoubleClick Bid Manager, Google's DSP), but to "allow Flash ads on Chrome when buyer is AdX, even on AdSense's inventory." The decision was made in a room with Neal Mohan and Spencer. Spencer could not say whether publishers or advertisers were ever told.

For publishers, this is the Gannett case in one exhibit: Google writes the rules, the industry body signs the press release, and publishers pay for compliance. For the IAB, the damage is to the one asset it cannot buy back. OpenRTB, VAST, the Transparency and Consent Framework, ads.txt and sellers.json are built to because the IAB logo means the whole industry wrote the spec. A Google witness just testified that member ghostwriting is routine. The only rebuttal that works is a drafting disclosure policy. For independent SSPs and DSPs, treat IAB policy positions as Google input until the IAB shows its drafting credits. The next round of standards covers agentic buying, AI crawler compensation and post-cookie identity, and the company with the browser, the ad server and the exchange has the same incentive it had in 2015. For Google, this is the familiar win: a standard set by a coalition, enforced by Chrome, judged by a Google report. Each piece is defensible on its own. The email shows how they were assembled.

Our call: no disclosure. The IAB will NOT publish drafting credits for its policy communications in the next 12 months. We expect the IAB to keep sending out member-drafted communications under its own name with no attribution, because the members who fund it are the members who draft. Revisit by 2027-10-27. We are wrong only if the IAB adopts a public policy naming which member organizations drafted or substantially edited its statements.

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