The staff of the US Federal Trade Commission released data on small acquisitions of five large technology companies on Wednesday, and the agency cancelled guidelines for vertical mergers that merged a company with a supplier—both steps indicate plans to deal with More stringent.
After a study started during the Trump administration, the staff of the U.S. Federal Trade Commission found that Facebook, Alphabet’s Google, Amazon, Apple, and Microsoft made a total of 616 acquisitions between 2010 and 2019. Over 1 million US dollars (about 73 crore rupees), but the scale is too small to report to the antitrust agency and other investigation results.
Democratic Commissioner Rebecca Slaughter (Rebecca Slaughter) said that looking at deals alone is not enough. “I think sequential acquisitions are a Pac-Man strategy. Viewed individually, each individual merger does not seem to have a significant impact. But the collective impact of hundreds of smaller acquisitions may lead to monopolistic behavior,” she said.
Republican committee member Christine Wilson called for a similar study of health care consolidation.
The US Federal Trade Commission sued Facebook last year, accusing the social media company of violating antitrust laws. It has asked the judge to revoke Facebook’s transactions with the photo-sharing app Instagram and messaging app WhatsApp, although both apps have passed the agency’s review.
The FTC, which began holding public meetings after progressive Lina Khan became chairman in June, also voted to revoke the Trump era’s guidelines on vertical transactions. Republicans Wilson and Noah Phillips opposed this decision.
The Justice Department said in a statement that it is reviewing vertical merger guidelines and horizontal transaction guidelines or competitor merger guidelines.
Richard Bowles, the acting head of the antitrust department, said in a statement: “The department’s review has determined that several aspects of the guidelines are worthy of careful review. We will work closely with the FTC to update them as appropriate.”
The FTC rarely tries to block vertical transactions, but recently asked a judge to block the acquisition of Grail by the biotech company Illumina. These companies seek to sell a blood test to diagnose dozens of cancers.
Five committee members voted on a partisan line to pass a policy statement that requires consumers to be notified of any unauthorized use of health data. The committee members also approved a procedure for accepting comments on potential rules.
© Thomson Reuters 2021