Bipartisan Bill Seeks to Rein In Big Tech Mergers That Harm Competition

1 year ago 123

Two senators person introduced bipartisan authorities that would marque it harder for online tech giants to marque acquisitions that “harm contention and destruct user choice,” according to the bureau of Sen. Amy Klobuchar (D-Minn.), 1 of the bill’s co-sponsors.

Klobuchar and Sen. Tom Cotton (R-Ark.) connected Nov. 5 jointly announced the unveiling of the Platform Competition and Opportunity Act, which would marque it easier for the authorities to artifact deals it believes interruption antitrust laws by requiring companies that person ascendant marketplace positions to beryllium that mergers don’t stifle competition.

“We’re progressively seeing companies take to bargain their rivals alternatively than compete,” Klobuchar said successful a statement.

“This bipartisan authorities volition enactment an extremity to those anticompetitive acquisitions by making it much hard for ascendant integer platforms to destruct their competitors and heighten the platform’s marketplace power,” she added.

Epoch Times Photo Sen. Amy Klobuchar (D-Minn.) connected Capitol Hill successful Washington connected Feb. 3, 2020. (Charlotte Cuthbertson/The Epoch Times)

Klobuchar and Cotton’s projected measure would shift the load successful merger enforcement to ascendant platforms to beryllium that the merger isn’t anticompetitive.

“Big tech firms person bought up rivals to crush their competition, grow their monopolistic marketplace share, and to harm moving Americans. That’s atrocious for America,” Cotton said successful a statement.

“Under this bill, the largest tech monopolies volition person the load of proving that further acquisitions are lawful and bully for the American people,” helium added.

Epoch Times Photo Sen. Tom Cotton (R-Ark.) asks a question during the Senate Judiciary Committee confirmation proceeding successful Dirksen Senate Office Building successful Washington, D.C., connected April 28, 2021. (Tom Williams/CQ Roll Call)

In October, Klobuchar joined Sen. Chuck Grassley (R-Iowa) and others to present a measure that would barroom large tech platforms from unfairly favoring their products and services. Called the American Innovation and Choice Online Act, the measure seeks to bolster online contention and forestall ascendant platforms from abusing their marketplace powerfulness successful anticompetitive ways.

Big Tech needs to beryllium held accountable if they behave successful a discriminatory manner,” Grassley said successful a statement. “Our measure volition assistance make a much adjacent playing tract and guarantee that tiny businesses are capable to vie with these platforms.”

Opposed to the American Innovation and Choice Online Act was a conjugation of argumentation nonprofit organizations, who signed an unfastened missive (pdf) connected Oct. 28, saying that “the large authorities regulations included successful this measure would empower enforcers to weaponize antitrust laws and punish American companies for providing products and services that consumers wide enjoy.”

“Competition thrives erstwhile barriers are removed, not erstwhile top-down authorities policies distort escaped marketplace activity,” the groups wrote, claiming the projected authorities would negatively interaction the services consumers bask and “absolutely marque user exertion worse.”

Other bills person been introduced seeking to rein successful the outsized marketplace powerfulness of tech firms. So far, nary has go law, though one, which would summation resources for antitrust enforcers, passed the Senate.

Tom Ozimek


Tom Ozimek has a wide inheritance successful journalism, deposit insurance, selling and communications, and big education. The champion penning proposal he's ever heard is from Roy Peter Clark: 'Hit your target' and 'leave the champion for last.'

More articles from this author