As Congress and the administration consider new antitrust investigations into America’s leading technology companies, it is essential that rhetoric doesn’t get in the way of the facts. Here are three things to keep in mind: —The consumer welfare standard is the ruler to measure antitrust. —Consumers recognize the value leading tech services provide them and […]
Despite the rhetoric of Facebook co-founder Chris Hughes’ New York Times op-ed, his arguments should be considered alongside the comments of antitrust and competition experts, who have noted two key points: —Where Hughes sees no alternatives to Facebook, the reality is that consumers have a dynamic set of options, with product innovation driven by competition. […]
While a handful of policymakers have made similar comments to Sen. Elizabeth Warren’s (D-Massachusetts) proposal to “break up” big tech, University of Pennsylvania law professor and antitrust expert Herbert Hovenkamp makes a strong argument for why these proposals could backfire, harming consumers and labor. Hovenkamp warns, “Although the proposals sound simple, they mask complex issues […]
In an opinion for the Guardian, King’s College lecturer Nick Srnicek argues that leading tech services should be treated as public services — either nationalized and operated by the government or regulated as closely as gas or electricity providers. Considering leading tech services are nothing like utilities, Srnicek’s proposal would benefit from a review of […]
Earlier today, Sen. Elizabeth Warren published a Medium post outlining a plan to “break up” the country’s most successful technology companies. A statement from CCIA president Ed Black is available here. When reading, it’s important to remember a few key facts: —Competition in the tech sector is thriving. —Venture capital deals for start-ups are at […]
In her latest for the Financial Times, Rana Foroohar argues that antitrust policy should move away from the consumer welfare standard toward a far broader definition. But as Assistant Attorney General for Antitrust Makan Delrahim has pointed out, the consumer welfare standard is adaptable and flexible, and arguments around data ownership are not actually evidence […]
A new op-ed from trade association News Media Alliance’s president and CEO David Chavern dismisses the contributions of leading tech services and argues publishers should form a cartel and extract rents by implementing controversial new regulations. In reality, though, leading tech services have taken great steps to empower publishers in the Internet Age, while the […]
Earlier this week, the Open Markets Institute (OMI) released a data set illustrating concentration by industry, and David Leonhardt highlighted it in the New York Times‘ opinion section. While the data itself isn’t anything new – concentration in some sectors has been rising for decades and is not always inherently anti-competitive – the way Open […]
Recent pieces from The Economist on competition and the tech industry all but ignore competition, the expansive definition of the consumer welfare standard, and the importance of the U.S. due process system. In particular, in rating the level of competition among larger firms, The Economist gives Apple a “green light” and Google and Facebook a […]
In a recent Wired piece, Tim Wu ignores economic and market realities in his call for regulation of leading tech services. Wu overlooks that the vibrancy of the tech industry is driven by the ongoing success of start-ups, relying on nostalgia instead of facts about the highly competitive modern technology market. Some research dispelling Wu’s […]
Hostility to innovation and technology diminishes the incredible Internet-enabled opportunities that leading tech services provide: empowering consumers, driving prices down and increasing choice, and providing platforms to help entrepreneurs grow their businesses. It has given us a golden era of entertainment, knowledge, and everything from fashion startups, to booming mom and pop stores, to the latest app.
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