Jeon, Doh-Shin and Yan, Jun (2020) Data, Targeted Advertising and Quality of Journalism: The Case of Accelerated Mobile Pages (AMP). TSE Working Paper, n. 20-1171, Toulouse

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This paper studies how newspapers’ adoption of Google’s Accelerated Mobile Page (AMP), a publishing format for mobile devices enabling instant loading of web pages, changes data allocation and thereby newspapers’ incentive to invest in quality of journalism when consumer data is used for targeted advertising. The adoption of AMP allows Google to obtain consumer data from AMP articles and to combine it with other sources of consumer data to improve targeting of the advertisements served by Google on other websites. Even if such data combination increases static efficiency, it can reduce dynamic efficiency when it lowers the ad revenue per newspaper traffic and thereby reduces the quality of journalism. Newspapers face a collective action problem as a newspaper’s adoption of AMP generates negative externalities to other newspapers through data leakage. In addition to leveraging its search monopoly power, Google can use a divide-and-conquer strategy to induce newspapers to adopt AMP. We provide policy remedies.

Item Type: Monograph (Working Paper)
Language: English
Date: December 2020
Place of Publication: Toulouse
Uncontrolled Keywords: Targeted Advertising, Data Combination, Data Leakage, Quality, of Journalism, Search Engine
JEL Classification: D21 - Firm Behavior
L12 - Monopoly; Monopolization Strategies
L15 - Information and Product Quality; Standardization and Compatibility
L82 - Entertainment; Media (Performing Arts, Visual Arts, Broadcasting, Publishing, etc.)
M37 - Advertising
Divisions: TSE-R (Toulouse)
Institution: Université Toulouse 1 Capitole
Site: UT1
Date Deposited: 16 Dec 2020 08:58
Last Modified: 29 Apr 2022 08:20
OAI Identifier:
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