Judiciary Antitrust Subcommittee Investigation Reveals Digital Economy Highly Concentrated, Impacted By Monopoly Power

Clear and Compelling Need to Strengthen Antitrust Enforcement and Consider a Range of Forceful Options, Including Structural Separations and Prohibitions on Anti-competitive Conduct

The House Judiciary Committee’s Antitrust Subcommittee released on October 6, the findings of its more than 16-month long investigation into the state of competition in the digital economy, especially the challenges presented by the dominance of Apple, 

Amazon, Google, and Facebook and their business practices.

"As they exist today, Apple, Amazon, Google, and Facebook each possess significant market power over large swaths of our economy. In recent years, each company has expanded and exploited their power of the marketplace in anti-competitive ways," said Judiciary Committee Chairman Jerrold Nadler (NY-10) and Antitrust Subcommittee Chairman David N. Cicilline (RI-01) in a joint statement. "Our investigation leaves no doubt that there is a clear and compelling need for Congress and the antitrust enforcement agencies to take action that restores competition, improves innovation, and safeguards our democracy. This Report outlines a roadmap for achieving that goal."

After outlining the challenges presented due to the market domination of Amazon, Apple, Google, and Facebook, the report walks through a series of possible remedies to (1) restore competition in the digital economy, (2) strengthen the antitrust laws, and (3) reinvigorate antitrust enforcement.

"This investigation has revealed that Apple, Amazon, Facebook, and Google were committed to drowning out competition through unfair and anti-competitive practices – often doing so at the expense of user privacy and innovation,” said Rep. Scanlon. “We must do everything we can to protect consumers and this report is a roadmap to the work that lies ahead. I look forward to developing and introducing legislation to restore fairness to the digital marketplace.”

 

(Source: U.S. House Committee On The Judiciary)