US regulators have released an antitrust roadmap targeting Big Tech companies. The Justice Department and the Federal Trade Commission (FTC) published the new guidelines to strengthen enforcement of antitrust laws against large technology firms.
The guidelines are centered on four critical areas. Firstly, they highlight the government’s increased skepticism towards mergers and acquisitions involving big tech companies. The government will assess whether a merger could reduce competition in a specific market or grant excessive market power to the merged entity.
Secondly, the guidelines underscore the government’s more aggressive pursuit of antitrust cases against companies engaging in monopoly conduct. Practices such as price-fixing, tying, and exclusive dealing will be under scrutiny.
Thirdly, the guidelines address concerns about data collection and usage by large tech firms, making it clear that the government will be closely monitoring these practices to ensure compliance with antitrust laws.
Lastly, the guidelines emphasize the importance of innovation in the tech sector. The government will consider the potential impact of antitrust enforcement on innovation when deciding whether to initiate a case.
The introduction of this new antitrust roadmap signals the Biden administration’s commitment to taking on Big Tech. It will make growth through mergers and acquisitions more challenging for large technology companies and increase the likelihood of antitrust cases against those involved in anti-competitive conduct. However, the effectiveness of these guidelines remains to be seen.
