Consumers Benefit from “Big Tech” Economies of Scale

Antitrust legislation that is not consumer-centric could severely damage the benefits of low prices and advanced technology that consumers presently enjoy. This should be enough to convince politicians that while antitrust legislation may have admirable intentions, it could end up hurting their constituents. You can read his op-ed in Town Hall:

Real Clear Policy: The War on Big Tech Threatens Consumer Welfare

Some policymakers are seeking to expand antitrust laws to target big tech. If this expansion is not rooted in sound economic analysis, as the current laws are, who’s to say when a company is too large and powerful? Would the effort to break up or rein in big companies stretch beyond online platforms to more […]

Don’t Let Anti-‘Big Tech’ Sentiment Overturn Time-Tested Antitrust Standards

It is reasonable to question whether the consumer welfare standard has been adequately applied to Big Tech companies, and whether some of their practices may unfairly handicap potential competitors — though, for now, the evidence for that charge is thin. What is not productive is to advocate for a return to the “big is bad” […]

The Economic Standard: Debunking “Big is Bad” — The Economics of Big Tech

Though calls to break up “Big Tech” — Amazon, Apple, Google, and Facebook — have intensified over the last few years, the logic behind the movement is as tenuous as ever. From the perspective of consumer welfare, the standard that has guided competition policy in the U.S. for nearly half a century, there’s good reason to think […]

Big Tech Needs to Outline its China Strategy

Last Wednesday afternoon, the CEOs of America’s largest tech companies faced a round of questioning from lawmakers in Washington, DC. While the hearings form part of an ongoing antitrust investigation, they risk overlooking how international actors, like unscrupulous Chinese entities, take advantage of American corporations and threaten consumers’ interests. In addition to questions about the […]

Google and Antitrust Probes

A draft executive order from the White House complaining about bias in social media said the proposed order commands federal agencies to “thoroughly investigate whether any online platform has acted in violation of the antitrust laws.”  The leaked White House document is more about allegations of bias against President Trump than it is about antitrust […]

Trump’s FTC Nominees Must Keep the Pressure Up on Qualcomm

Among the urgent issues facing President Trump’s nominees for vacant FTC seats is one that is unique in its scope. Republicans Joe Simons, Noah Phillips and Christine Wilson along with Democrat Rohit Chopra are slated for a Senate confirmation hearing tomorrow. If approved, they will inherit the FTC’s civil antitrust action against Qualcomm. And the […]

Big Data and EU Antitrust Probes

Six months ago, the European Commission said its antitrust inquiry revealed that Google’s use of its very popular search product violated the EU’s competition standards.  This week the Commission released the text of its report.  The previously announced 2.4 billion Euro fine was affirmed. As if to divert attention away from the antitrust report, the […]

Forbes: Qualcomm vs. The Facts

The events of this year suggest that the antitrust hammer may finally be dropping on Qualcomm, which is good news for just about everyone else, particularly consumers. However, if you ask Qualcomm, they will tell you that the longstanding objections to their business practices from a diverse set of credible sources and institutions are all […]

Antitrust Focus on Consumer Welfare and Low Prices

Market power is not the US law’s criterion for antitrust prosecution. In a Yale Law Journal article, Lina Kahn laments that “the current framework in antitrust—specifically its pegging competition to “consumer welfare,” defined as short-term price effects—is unequipped to capture the architecture of market power in the modern economy.” Moreover, “current doctrine underappreciates the risk […]