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FTC Clears Omnicom-IPG Merger With Decade-Long Neutrality Mandate

The FTC bars the merged company from steering advertisers’ spending over ideological concerns under a consent order that runs for ten years.

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BEVERLY HILLS, CALIFORNIA - MAY 6: Elon Musk, co-founder of Tesla and SpaceX and owner of X Holdings Corp., speaks at the Milken Institute's Global Conference at the Beverly Hilton Hotel,on May 6, 2024 in Beverly Hills, California. The 27th annual global conference explores various topics, from the rise of generative AI to electric vehicle trends and features participants, soccer star David Beckham and actor Ashton Kutcher. (Photo by Apu Gomes/Getty Images)

Overview

  • The commission approved Omnicom’s $13.5 billion acquisition of Interpublic Group, forming the world’s largest ad agency with roughly $25 billion in annual revenue.
  • The consent order prohibits Omnicom-IPG from directing or denying ad placements based on a publisher’s political or ideological views unless explicitly requested by clients.
  • Under the agreement, the merged firm must eliminate exclusion lists of blocked sites and submit annual compliance reports for five years to the FTC.
  • Observers say the ten-year neutrality mandate is unprecedented and could saddle Omnicom-IPG with extensive legal oversight and reporting burdens.
  • Industry analysts warn the order may reshape brand safety practices, favor non-US-owned agencies and curb ad revenue for news outlets labeled as ideologically driven.