The first few months of Joe Biden ’s presidency were marked by the recruiting of what some call an “ Antitrust All - Star Team . ” Spearheaded by dogged Amazon criticLina Khan , antimonopoly scribeTim Wu , andlongtime Google annoyanceJonathan Kanter , that dream team has little to show for itself , so far . Despite pile of anti - monopolistic , pro - worker blustering , company mergers and acquisitions reached arecordpace in 2021 , with over 1,047 deals happen upon worth at least $ 100 million each . Now , nearly one year after Biden take over spot , two of his top competition enforcement agencies are compete to reevaluate — and potentially rewrite — unification and acquisition guidelines in elbow room they argue could give them a fighting chance against a growing tidal wave of economic consolidation
In a press conference on Tuesday , the Federal Trade Commission and Department of Justice announced they are together with launching a public inquiry to retool and beef up their unification and acquisition guidelines to better detect and preclude anti - competitive corporate business practice . Though both means were stiff - lipped on their specific policy preferences , they say the public scuttlebutt summons is intended to ensure the way ’ principle and guideline are up to the task of handling a modern economy presently undergoing a radical digital translation .
“ The supplying chain no longer follow a simple upstream or downstream way of life , ” DOJ Assistant Attorney General Jonathan Kanter said during the press conference . “ It ’s complect in complex and acquire ways . ” Kanter went on to say digital technologies have revolutionized not just the goods and services routine consumers use but , “ the nature of industry , at its heart . ”
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While the public question will seem broadly at the agency ’ guidelines , FTC chair Lina Khan draft three area of most importance . First , the agencies desire to come up out whether or not the current guidelines are “ paying attention to the kitchen range of business strategies and incentives that might force back attainment . ” secondly , Khan said the agencies are interested in knowing if the current guidelines adequately appraise whether fusion are harming worker . ( Seemingly include in this question is examination of theconsumer harm rule , which up until now has allow for merger so long as they do not result in increase damage ) . But as any Amazonwarehouse workerorbreachedFacebook user will attest , prices may only tell part of the story with advanced technical school business organization drill . Finally , the agencies want to know if the current guidelines are “ unduly limited in their focus on particular types of evidence . ”
Though neither Khan nor Kanter advocate for any peculiar eccentric of reform , it was clean they were n’t on the button pleased with the current fusion onslaught . According to Khan , the FTC and DOJ last yr received more than double the number of merger filings than in any of the past five eld . “ We need to check our tools of today leave us to understand the markets of today , ” Kanter said .
“ Illegal mergers can impose a host of harms , from higher prices and lower wages to diminished opportunity , reduced innovation , and less resilience , ” Khan said in astatement . “ This inquiry launched by the FTC and DOJ is designed to assure that our merger guidelines accurately reflect modern marketplace world and equip us to forcefully enforce the constabulary against unlawful heap . ”
The agencies ’ call to activity hail literally hours after Microsoftannouncedits intent to acquire telecasting biz publishing giant Activision for a gargantuan price tag just short of $ 69 billion . example from both the FTC and the DOJ refuse to annotate specifically on the Microsoft acquisition during the press conference , but both acknowledged that the late rise in acquisitions across the board has strained their imagination flimsy .
The public research also comes about six months after President Biden sign a wide - rangingexecutive orderdirecting the FTC and DOJ to harness in monopolistic corporate practice session . That order contained 72 separate initiatives with a particular focus on adding enforcement mechanisms to direct Big Tech business practice . So far though , the order has proven mostly symbolical .
Despite an apparentappetitefor more aggressive anti - monopolistic enforcement mechanisms , Union agency have found themselves capable to restrictive rules and lengthy motor hotel engagement that confine their efficacy . A review outgrowth could alter the former , but instance decline to annotate on what , if any , effect those revamped guidelines would have on the seemingly inevitable dogfight with homage .
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