Defunct advertising startup Unlockd is taking its antitrust war against Google to the Ninth Circuit, hoping to revive a lawsuit that paints the tech giant as a monopolistic overlord—one that allegedly lured Unlockd into dependence before pulling the plug.

On Thursday, Unlockd Media Inc. Liquidation Trust formally notified the California federal court that it intends to challenge the ruling that permanently dismissed its case. The notice was brief, providing no further details, but it sets the stage for a high-stakes battle that could shake up the digital advertising landscape.

Google's Alleged Bait-and-Switch

Unlockd's lawsuit tells the tale of a promising startup that found a creative way to monetize the simple act of unlocking a smartphone screen. According to its September 2021 complaint, Android users unlock their phones an average of 76 times per day. Unlockd seized on this moment, displaying advertisements that rewarded users with points redeemable for streaming discounts or in-app perks.

The startup relied on two major Google platforms—Google Play Store for app distribution and Google AdMob for securing advertisers. However, just as Unlockd was preparing to go public, it claims Google abruptly shut it out, citing policy violations.

Locked out of its primary revenue sources, Unlockd’s business crumbled. "Without access to these two critical platforms, Unlockd was doomed," the company stated in its lawsuit.

The Court's Skepticism

Despite Unlockd’s claims, U.S. District Judge Haywood S. Gilliam Jr. dismissed the case with prejudice in February, determining that being ousted from Google’s ecosystem alone was not enough to prove antitrust harm.

"In short, plaintiff still offers nothing more than its repeated assertion that it was an innovative business and would have been a threat to Google in the digital advertising market absent Google's alleged conduct," Gilliam wrote. "Such unsupported conclusions are simply insufficient to allege antitrust injury."

With the case now heading to the Ninth Circuit, Unlockd is hoping to convince appellate judges that Google’s actions constituted monopolistic sabotage rather than simple policy enforcement.

A Curious Twist: Google’s Investment in a Rival

Adding fuel to the fire, Unlockd’s suit highlights a suspiciously timed move by Google. Not long after allegedly shutting down Unlockd, Google invested in a similar platform, Glance, which also monetizes the unlock screen experience. Unlockd argues this raises serious questions about Google’s true motives.

At the time of the lawsuit, Glance was preparing for a U.S. launch with Google's backing, a fact Unlockd points to as evidence of foul play.

Google’s Defense: Policy Enforcement or Power Play?

Google has countered that Unlockd’s removal was not a hit job but rather the result of repeated violations of Play Store rules. According to Google, Unlockd’s business model breached policies banning ads outside an app’s core experience and requiring that apps offer more than just advertisements and rewards.

Moreover, Google insists that Glance operates differently from Unlockd, dismissing any suggestion of an anti-competitive scheme.

What’s Next?

With the Ninth Circuit now set to weigh in, Unlockd’s antitrust battle against Google is far from over. If the appeals court sides with the startup, the case could return to trial, putting Google’s dominance in the digital advertising space under renewed scrutiny.

Neither party has provided additional comment at this time, but all eyes will be on the Ninth Circuit as it decides whether this David-and-Goliath battle deserves another round in court.