CCI Expands Investigation into Ad Industry Cartel Practices

India's Competition Commission (CCI) has initiated a major investigation into the advertising industry, focusing on major media buying agencies suspected of anti-competitive practices. The investigation, prompted by tip-offs under a leniency scheme, includes major players like GroupM, Dentsu, Publicis, and Interpublic, all of whom are being scrutinized for potential collusion in pricing and discounting strategies. Dentsu has reportedly applied for leniency, providing evidence related to alleged price-fixing agreements among industry bodies, which may have influenced advertising costs. This leniency program allows companies to reduce their penalties by voluntarily disclosing their involvement in cartel activities, encouraging whistleblowers to come forward. The CCI's enforcement actions involved extensive raids across multiple agency offices to collect evidence, reflecting a significant regulatory push to ensure fair competition in India's $18.5 billion advertising market. As the investigation unfolds, further expansion of the probe may include additional advertising agencies and associations.