Senator Elizabeth Warren (D-Massachusetts) aims to be the Democratic Party’s candidate for the 2020 U.S. presidential election, but she just alienated Silicon Valley when she proposed to break up tech companies that generate more than $25 billion in online revenue. Her rationale is that companies such as Amazon, Facebook and Google have become too big and too powerful, squashing small businesses and innovation, and more focused on their financial well-being than “the broader interests of the American people.” Continue reading Elizabeth Warren Looks to Break Up Major Tech Companies

The Department of Justice will soon ask for public input on the status of two legal agreements that have been the foundation of music licensing since 1941, said sources. Advocates of overhauling the rules said that artists are harmed, earning less in the digital age. Those who believe the regulations should stay in place counter that the rules have created a stable marketplace. The review of these music licensing rules comes as the DOJ revisits consent decrees written decades ago for several different industries. Continue reading Department of Justice Revisits 1941 Music-Licensing Rules

The Federal Trade Commission (FTC) will create a task force to take a broad look at potential antitrust violations in the tech industry, including re-examining already-approved mergers — possibly undoing deals deemed to have an anti-competitive impact today. At the same time, the FTC brought its first case against using fake ads to sell online products, settling with the New York City-based Cure Encapsulations and its owner for paying for fake ads about a weight loss product to be posted as Amazon reviews. Continue reading FTC Targets Anti-Competitive Violations, Fake Amazon Posts

Germany’s Federal Cartel Office, the country’s competition authority, issued an antitrust argument to restrict Facebook’s data collection. Stating that Facebook currently provides users with a stark choice between allowing the company to collect unlimited data or not using the site, the Federal Cartel Office stated that Facebook must allow users to refuse the company’s bid to collect their data and automatically merge it with data from Instagram, WhatsApp and non-Facebook sites. The decision impacts 32 million German users. Continue reading German Antitrust Ruling Restrains Facebook Data Collection

Facebook chief exec Mark Zuckerberg reportedly plans to integrate the company’s Instagram, Messenger and WhatsApp messaging apps. According to those familiar with the plan, the three services will continue operating as standalone apps, but their tech infrastructure will be stitched together. For the first time, the messaging networks’ 2.6 billion global users will be able to communicate across platforms. The initiative is expected to be completed by the end of this year or early 2020. It will require teams to significantly reconfigure functionality of all three services and will include new end-to-end encryption. Continue reading Facebook to Integrate Instagram, Messenger and WhatsApp

In light of the fact that the European Union’s Copyright Directive may soon give publishers the right to demand payment when portions of their articles appear in news search results, Google is considering ceasing its Google News service in Europe. Although the law is not yet finalized, Google public policy manager for Europe, the Middle East and Africa Jennifer Bernal stated that the company could reluctantly quit Europe after it has the chance to do a close examination of the proposed law’s details. Continue reading Facing EU Copyright Law, Google May Remove News Service

Google and Facebook had a rough 2018 regarding data privacy, but the advertisers haven’t abandoned the two tech giants and their profits continue to soar. This year may be even tougher as concern about privacy grows. In fact, French regulators levied a 50 million Euro (about $57 million) fine on Google, for not clearly disclosing how data collected across its sites are used to personalize ads. Experts believe the behavior of big tech companies will be a “major topic” at the upcoming World Economic Forum in Davos, Switzerland. Continue reading Google Fined 50 Million Euros Under EU’s New Privacy Laws

A regional court in Munich recently ruled that Amazon’s click-to-purchase Dash buttons for Prime members violate German consumer protection legislation. Based on the contention that the thumb-sized, adhesive Dash buttons do not always provide the latest pricing information, the court ordered Amazon to halt taking purchase orders through the Wi-Fi-connected devices. The decision follows a case brought against Amazon by a German consumer protection watchdog group that says it took action after fielding complaints by consumers. Germany is Amazon’s second largest market. Continue reading German Court Rules That Amazon Dash Button Violates Law

On January 1, 2019, the French government will begin to tax digital companies including Amazon, Apple, Facebook and Google, even as other members of the European Union have balked at imposing an EU-wide tax. French finance minister Bruno Le Maire declared that, as the other EU countries debate, his country will move forward alone, estimating that the total tax bill will come to 500 million Euros ($568 million), which will help defray 10 billion Euros in emergency spending announced by President Emmanuel Macron. Continue reading France to Impose Tax on U.S. Technology Companies in 2019

In a conference call with reporters, Facebook chief executive/chair Mark Zuckerberg defended his company against charges that he and chief operating officer Sheryl Sandberg hid problems regarding Russian interference and other issues. Politicians have discussed opening a federal investigation into possible campaign finance violations and creating competition laws to curb the company, while shareholders have called for Zuckerberg’s ouster and activists have complained to the Federal Trade Commission. Continue reading Facebook Deals with Criticism, Marketers Mull Over Options

In a meeting of nine state officials and representatives of five other states led by U.S. Attorney General Jeff Sessions, the market dominance and privacy practices of large tech companies were discussed, as well as the possibility of a joint investigation of tech giants such as Google, Facebook and others. Attorney General Doug Peterson (R-Nebraska) said his state is examining just such a multi-state inquiry into antitrust and consumer protection issues. Potential political bias, a previously raised topic, was barely touched. Continue reading State Officials Consider a Joint Investigation of Tech Players

The Federal Trade Commission has begun a series of 15 to 20 hearings scheduled over the next few months to address whether companies based on new technologies should spur changes in its competition and consumer protection policies. FTC chair Joseph Simmons noted that the “broad antitrust consensus” in existence for 25 years is now being challenged, and that he will approach the topic with an open mind. The Justice Department may also start investigations into whether Google and other social media sites are biased against conservative voices. Continue reading FTC Ponders New Antitrust, Consumer Protection Regulations

Senate Intelligence Committee hearings will begin today to examine a host of issues regarding big technology firms, including Facebook, Twitter and Google, and weigh whether the issues might be addressed by legislative or executive actions. Those companies already stand accused of not controlling the use of their platforms to disseminate misinformation and, in general, not taking enough responsibility for content. Meanwhile, conservatives accuse the platforms of bias in policing content. Continue reading Senate Intelligence Committee to Question Tech Execs Today

Apple and Google are getting pushback from such companies as Netflix, Epic Games and Valve that have complained the tech behemoths collect too high of a tax for residing in their app stores. The number of such complaints has risen significantly, and new ways of reaching users has led some companies to avoid app stores altogether. That, combined with competition from those new sources and regulatory scrutiny threaten what has thus far been a source of billions of dollars in revenue for Apple and Google. Continue reading Some Developers Fed Up With Apple, Google App Store Taxes

The U.S. Department of Justice stated it is now reviewing the so-called Paramount consent decrees, settlements struck between 1948 and 1952 that govern the way movie studios do business with movie theaters. The DoJ’s announcement was unexpected, and could have major implications for how Hollywood does business. Those 70-year old decrees broke up Hollywood studios’ monopoly over production, distribution and exhibition by making them sell their theater chains. The review is aimed at ending outdated antitrust judgments. Continue reading Department of Justice Revisits Paramount Consent Decrees