Some items on our site have recently moved. Visit our News Hub for selected articles, special reports, podcasts and other resources.
Institutional investing's potential anticompetitive effects to be examined by DOJ, top antitrust enforcer says
12 Feb 2019 12:00 am by Amy Miller
The US Department of Justice’s antitrust division will examine in the coming months whether institutional investing can have anticompetitive effects, the US Justice Department’s top antitrust enforcer said this week.
Makan Delrahim, the DOJ’s assistant attorney general for antitrust, said at a conference in Boulder, Colorado, that he had recently read articles by Einer Elhauge, a Harvard Law professor who argues that common ownership could violate antitrust laws in concentrated industries.
Elhauge's common-ownership theory holds that when groups of big investors hold material equity stakes in several companies in the same industry, they can foster anticompetitive conduct with the goal of making more money.
Delrahim said he doesn't “totally agree” with Elhauge’s theory, but the DOJ should explore whether companies that know their largest shareholders are also shareholders in their largest competitors behave differently “from a competitive standpoint.”
“It’s a fascinating area to see whether or not competition laws pay attention,” Delrahim said. "But there are so many others."
The DOJ, he said, should also be “vigilant” and look into potential anticompetitive conduct among technology companies and online platforms.
However, he said he doesn’t agree with the argument that the offering of better products and services by online companies can be a “defense to an otherwise illegal violation of the antitrust laws.”
“I think that’s the wrong way to look at it,” Delrahim said, adding that hopefully courts will agree.
07 Jun 2021 12:00 am by Claude MarxCongressional Democrats are speeding up their efforts to ensure the FTC is given statutory power to recover ill-gotten gains.
Google set to rein in apps' access to data, even as it faces regulatory pressure over location-data collection04 Jun 2021 12:32 am by Mike SwiftGoogle told app developers that by late 2021, a unique device-identifying code that Android apps use to target ads to individuals will be off-limits if a user opts out of personalized advertising.
That a jury would require no more than half a day to deliberate at the end of an 11-week trial was a bad omen for Australia’s federal prosecutors.