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FTC Clears Omnicom-Interpublic Merger With Conditions on Ad Boycotts

The FTC approved Omnicom's $13.5B merger with Interpublic, barring coordinated ad boycotts based on political content and imposing compliance oversight for five years.

Key points:

  • FTC allows $13.5B Omnicom-Interpublic merger with behavioral restrictions.
  • Combined entity barred from ad placement decisions based on political content.
  • Marks shift in merger enforcement tone under GOP leadership.

The Federal Trade Commission has cleared Omnicom Group's $13.5 billion acquisition of Interpublic Group, contingent on strict limits that prevent the merged company from steering advertising dollars based on political or ideological criteria. The decision follows months of investigation into alleged coordination between ad firms and media rating groups linked to content-driven ad boycotts.

The settlement comes amid growing scrutiny over how large advertising players may indirectly shape media content. Critics, including Elon Musk, have accused such practices of enabling ideologically motivated advertising boycotts, especially those targeting platforms like X (formerly Twitter).

Although the FTC’s consent order does not constrain individual advertisers from making independent ad placement choices, it explicitly bars Omnicom and Interpublic—once merged—from participating in industrywide schemes that influence ad buying decisions based on political content.

“Today’s settlement does not limit either advertisers’ or marketing companies’ constitutionally protected right to free speech,” said FTC Chairman Andrew Ferguson, noting that the behavioral remedy was necessary due to the “history of collusion” in the media-buying space and the “increased potential for collusion post-merger.”

The settlement also mandates that the combined company maintain detailed documentation and submit annual compliance reports to the agency for five years. While such behavioral remedies are often seen as less enforceable than structural ones, Ferguson emphasized that this case merited the exception due to the competitive dynamics at stake.

The move represents a shift from the more aggressive antitrust posture adopted during the Biden administration. Then-Antitrust Division chief Jonathan Kanter had repeatedly signaled opposition to settlements, favoring full litigation in merger cases. In contrast, current DOJ Antitrust Division head Gail Slater has taken a more pragmatic approach. During her confirmation process, she indicated a willingness to consider settlements where “robust structural remedies” can be efficiently implemented—a stance she has maintained post-confirmation, as noted by the Akin Transparency in Merger Enforcement report.

The Omnicom-Interpublic merger, first announced in December 2024, is an all-stock transaction that will result in the largest media-buying agency in the United States. The FTC’s order is now open for public comment and must receive final approval from the full Commission. Two Republican commissioners voted in favor, while Commissioner Mark Meador recused himself.

Representatives for both companies declined to comment.

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