In its antitrust investigation of Google, the U.S. Department of Justice and state attorneys general are looking at whether the Big Tech company engages in “tying,” a practice of bundling products together with the aim of blocking competition. According to sources, the government officials have questioned executives at competing companies about Google’s Network, the division that sells end-to-end digital advertising services, and whether it offers advertisers enticing terms to buy into its complete ecosystem. Continue reading Antitrust Officials Focus on Google’s Advertising Ecosystem

U.S. District Judge Yvonne Gonzalez Rogers ruled that Epic Games can maintain access to Apple’s Developer Tools but that its game “Fortnite” will stay out of its App Store. “Apple has chosen to act severely, and by doing so, has impacted non-parties, and a third-party developer ecosystem,” wrote the judge. Epic Games founder and chief executive Tim Sweeney is battling Apple and Google over their app store commissions. Apple’s response to the ruling was to state it looked “forward to making our case to the court in September.” Continue reading Epic Games Wins a Partial Victory in Legal Battle with Apple

The Federal Trade Commission often interviews witnesses under oath as part of investigations that lead to lawsuits. It’s telling, then, that, according to sources, Facebook chief executive Mark Zuckerberg testified remotely and under oath over a two-day FTC “investigative hearing.” Those sources also pointed out that Zuckerberg’s testimony doesn’t guarantee the case is headed toward an antitrust lawsuit but could be used by the FTC and state attorneys to build their case. State officials also participated in the hearing. Continue reading FTC Interviews Mark Zuckerberg as Part of Its Antitrust Probe

The Justice Department and Attorney General William Barr plan to bring an antitrust lawsuit against Google as soon as this summer, but not all of the DOJ staffers are happy with what they say is an “aggressive timeline.” Critics believe that the case isn’t ready for trial and that they need more time to determine if the “millions of pages of documents” contain enough evidence to win the case. But Deputy Attorney General Jeff Rosen stated that the case is “a major priority” and the DOJ is “going full-tilt.”

Continue reading Some DOJ Lawyers Warn of a ‘Rush’ to Bring Google Lawsuit

In an ongoing dispute over Apple’s 30 percent commissions in its App Store, Epic Games, maker of “Fortnite,” threw down the gauntlet by openly encouraging players to pay the company directly, rather than through Apple and Google’s app stores. But within hours of the announcement, Apple removed “Fortnite” from its App Store, noting Epic’s “express intent of violating App Store guidelines.” Google also pulled the game from its Play Store. Epic Games responded by suing the two tech giants in federal court, claiming antitrust violations. Continue reading App Store Battle: Epic Sues Apple, Google for Pulling ‘Fortnite’

Qualcomm reached the end of a trying five-year period, battered by antitrust allegations, U.S.-China trade tensions, an activist shareholder and Broadcom’s hostile takeover attempt among other obstacles. This week, the U.S. Court of Appeals for the Ninth Circuit vacated a 2019 ruling by a federal judge that Qualcomm had overcharged phone makers for its patents and abused its monopoly position. Qualcomm chief executive Steve Mollenkopf is now predicting sales of between 175 million and 225 million 5G devices this year. Continue reading Qualcomm Faces Bright 5G Future After Appeals Court Ruling

U.S. District Judge Analisa Torres approved the Justice Department’s proposal to terminate the 71-year-old Paramount Consent Decrees, intended to prevent Warner Bros., 20th Century Fox, Paramount and other major studios from owning both the means of production and distribution. Studios such as The Walt Disney Company and Lionsgate that became distributors after the law went into effect were not subject to its rules. Last fall, the Justice Department suggested the Decrees were anachronistic in today’s entertainment ecosystem. Continue reading Judge Rules in Favor of Ending Paramount Consent Decrees

The European Union has led the movement to leverage antitrust laws in an effort to limit the power of Big Tech companies from the United States. Now, convinced that the impact of these efforts did not go far enough to change behavior, they are pursuing a different tack, this time drafting regulations that address specific business practices. But even as the chief executives of Amazon, Apple, Facebook and Google were grilled in a Congressional hearing last week, they reported skyrocketing revenue and billions in profit. Continue reading European Union Adopts New Strategy to Contain Tech Firms

In the face of the COVID-19 pandemic, the wares and services of Big Tech companies such as Amazon, Apple and Facebook have become more indispensable than ever. As such, they are thriving. Amazon, for example, reported $88.9 billion in sales, with profits doubling to a record $5.2 billion in the quarter ending June, even though it spent $4 billion on its supply chain and worker safety in that time frame. Apple marked an 11 percent increase in quarterly sales, and Facebook sales rose 11 percent to $18.7 billion. Continue reading Big Tech Companies Are Thriving Despite the Current Climate

At a congressional hearing this week, the chief executives of Amazon, Apple, Facebook and Google endured frustration and hostile criticism from bipartisan lawmakers. House Antitrust Subcommittee chair David Cicilline (D-Rhode Island) started by saying that, “Our founders would not bow before a king. Nor should we bow before the emperors of the online economy,” referring to Amazon’s Jeff Bezos, Apple’s Tim Cook, Facebook’s Mark Zuckerberg and Google’s Sundar Pichai. The companies are collectively worth almost $5 trillion. Continue reading Big Tech Executives Are Grilled During Congressional Hearing

Amazon, Apple, Google, Facebook and Microsoft — the five largest U.S. tech firms — are speeding up their acquisitions, even as they are under antitrust investigation by federal officials and state attorneys general. By the end of June, the companies had disclosed 27 deals, up 29 percent from the same period last year, when they announced 21 deals. The increase in purchases could be used as proof by regulators and economists that these companies are using their wealth to dominate competitors and increase their market share. Continue reading Big Tech Firms Step Up Acquisitions Despite Antitrust Probes

Last year, the Global Antitrust Institute, part of the Antonin Scalia Law School at George Mason University, organized and paid for a weeklong conference in California for antitrust regulators from 30 foreign countries, including Australia, Brazil, China and Japan. At the conference, these officials attended classes that were described as continuing education to learn more about the economic foundation of competition regulations. According to attendees and critics, however, the message of the conference also benefited Big Tech companies. Continue reading Amazon, Google, Qualcomm Support Global Antitrust Institute

About a year ago, the Federal Trade Commission chair Joseph Simons predicted that the antitrust probe of Facebook would be done before the presidential election, a goal that now seems unlikely. If it runs into next year, a new president could change the FTC’s priorities. For now, the Facebook investigation continues, with staff members prepping depositions of Facebook chief executive Mark Zuckerberg and chief operating officer Sheryl Sandberg and examining its purchase of Giphy, a search database for short videos. Continue reading FTC Probe of Facebook Unlikely to Conclude by Election Time

The European Union’s antitrust unit has broadened its focus of Big Tech companies to include voice assistants such as Siri and Alexa and the growing number of connected Internet of Things (IoT) devices. The EU’s competition commissioner Margrethe Vestager noted the threat of a big company pushing the market until “competition turns into monopoly.” With regard to IoT, she pinpointed voice assistants as the “center of it all,” but included any digital device that records consumer data from Apple Watch to an Internet-connected refrigerator. Continue reading EU’s Antitrust Probe Expands to Include the Internet of Things

The European Union overturned a 2016 decision that ordered Apple to make good on $14.9 billion in unpaid taxes to Ireland. Apple selecting Ireland as its European base to avoid taxation was the genesis that eventually led to the decision. The European Commission’s top antitrust regulator Margrethe Vestager accused the arrangement of being an illegal subsidy not available to Apple’s rivals and demanded that Ireland recover 10 years of back taxes. Amazon and Google have pending court appeals to overturn similar EU decisions. Continue reading European Union Court Overturns 2016 Decision Against Apple