Business & Investment

Amazon, Apple, Facebook and Google are subject to bipartisan antitrust reform bill

Amazon, Apple, Facebook And Google Under the new widespread antitrust reforms introduced by a bipartisan parliamentary group on Friday, their business practices could be forced to undergo a thorough overhaul.

5 invoice packages, Previously reported by CNBC And other outlets prohibit the dominant platform from owning a business that makes it difficult to complete the merger and presents a clear conflict of interest. The law represents the most comprehensive effort to reform antitrust laws decades and 100 years ago.

The bill must be voted in favor by the Judiciary Committee before heading to Full House. It also needs to be approved by the Senate before the president can sign the law.

This measure is the result of a lengthy investigation by the House Judiciary Committee on antitrust laws against four companies completed last year.

panel found At that time, Amazon, Apple, Facebook, and Google had monopoly power, and antitrust laws needed to be amended to better address the unique challenges of competition in the digital market.

Democrats and Republicans disagreed on several solutions, but they almost agreed with allegations of competitive harm and needed reforms to revitalize the market.

Two of the new bills introduced on Friday could turn out to be particularly difficult for Amazon and Apple to navigate. Both operate a marketplace that contains their own products and apps that compete with other sellers and developers who rely on their services. New law. These bills constitute the Platform Antitrust Law (which appears to have been renamed to the American Choice and Innovation Online Law) sponsored by the House Judiciary Committee on Antitrust Law. Ending platform antitrust law sponsored by Democratic Party Vice-Chair Pramila Jayapal.

The bill, in draft form, has already sparked a backlash from technology funding groups.

“Adopting a European regulatory model will make it harder for American tech companies to innovate and compete both here and around the world,” Jeffrey Mann, president and founder of the Center for International Law and Economy, said in a statement. Stated.Group has received Funded by Google in the past.

Adam Kovacevich, CEO of the Centre-Left Advocacy Chamber of Progress, announced with the support of Amazon, Facebook, Google and others: Medium post Earlier this week, consumers argued that if these two bills were passed, consumers would lose more than 12 popular features.

Kovacevich said that under these suggestions, Amazon couldn’t offer prime free shipping on some products, and Google would give the most popular results to businesses in the region due to rules prohibiting discrimination on the platform. Claimed that it could not be provided to the user. He also doesn’t allow Apple to pre-install its “Find My” app on the device to allow users to find lost items, and Facebook has a quick access to Instagram due to conflicts of interest. I wrote that I can’t allow crossposting. And non-discriminatory clause.

Despite the technical backlash, bipartisan support for the bill is a formidable signal to the industry. This sector has influenced rare collaborations between Democrats and Republicans. Both Democrats and Republicans believe that tech companies have become overwhelmed and worried about stagnant innovation.

Here’s an overview of the five bills announced on Friday:

  • Platform Antitrust Law: Sponsored by Jayapal in the district, including the Seattle headquarters of Amazon, and sponsored by Republican Lance Gooden, the bill is a project with at least 50 million monthly active U.S. users and a clear market capitalization conflict of interest. $ 600 billion to own or operate. Illegal competitors include those that prioritize their services over the services of competitors who use the platform or motivate companies to disadvantage potential competitors. Legislators previously worried that both Amazon and Apple, which operate their own platforms for sellers and developers, could undermine competition due to conflicts of interest in their competitors and apps. Has stated.
  • American Choice and Innovation Online Act: Proposed by Cicilline and co-sponsored by Gooden, the bill prohibits dominant platforms from offering their own products and service advantages over competitors on the platform. It also prohibits other types of discriminatory behavior by the dominant platform, such as separating competitors who use the platform from the services provided by the platform itself, and services where the dominant platform is not exposed to others. It is prohibited to use the data collected in the above as fuel. A unique competitor, among other prohibitions.
  • Platform Competition and Opportunity Law: The proposal from Republican Rep. Hakim Jeffries, whose Republican Ken Buck is a ranking member of the subcommittee, will shift the burden of proof of the merger case to the dominant platform (defined by the same criteria as the previous bill). .. ) Rather than having to prove that the government reduces competition, prove that their acquisition is actually legal. This measure is likely to significantly slow down acquisitions by leading tech companies.
  • How to enhance compatibility and competition by enabling Service Switching (ACCESS): This proposed bill from Republican Congressman Mary Gay Scanlon, supported by Republican Rep. Burgess Owens, requires major platforms to maintain specific standards of data portability and interoperability. Data for consumers to other platforms.
  • Merger Fee Modernization Act: The bill, introduced by Democrat Joe Neguse and co-sponsored by Republican Victoria Spartans, appears to be an adjunct to the bipartisan bill of the same name in the Senate.Senate version passed through that room on Tuesday $ 250 billion in larger technology and manufacturing costs.. The bill aims to raise funds for these agencies by raising the fees paid by businesses to notify the Federal Trade Commission and the Department of Justice’s Antitrust Bureau of a major merger.

This story is developing. Check for updates.

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See: How US Antitrust Law Works and What It Means For Big Tech

Amazon, Apple, Facebook and Google are subject to bipartisan antitrust reform bill

https://www.cnbc.com/2021/06/11/amazon-apple-facebook-and-google-targeted-in-bipartisan-antitrust-reform-bills.html Amazon, Apple, Facebook and Google are subject to bipartisan antitrust reform bill

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