Australia regulator probes Google's DoubleClick bid

By Victoria Thieberger

MELBOURNE, Sept 10 (Reuters) - Australia's competition regulator has launched an inquiry into Google Inc (GOOG.O: Quote, Profile, Research, Stock Buzz)'s proposed acquisition of DoubleClick Inc, its second action involving the online search giant.

The Australian Competition and Consumer Commission said on its Web site it has launched an informal review of the US$3.1 billion DoubleClick deal, writing to industry participants for comments on how the takeover would affect the Australian market.

It is seeking comment on the extent to which the two companies compete in the local online advertising market, whether a merged company would lead to higher prices, and whether it would have the ability to send rival search engines or advertisers out of business.

The ACCC said it expected to announce a decision on Oct. 16.

DoubleClick, a U.S. Web advertising supplier, connects ad agencies, marketers and Web site publishers, and has more than 1,500 corporate clients.

A Google spokesman said online advertising in Australia was highly competitive, and had a large number of participants and new entrants.

"DoubleClick and Google provide very different services to each other and we've provided information to the ACCC in the normal course," spokesman Rob Shilkin told Reuters.

The DoubleClick deal has already come under regulatory scrutiny in the U.S. from the Federal Trade Commission and a congressional inquiry, and is being examined by European regulators.