6-hour hearing in a nutshell!

Evgeny Pozdeev
UDAPTOR
Published in
2 min readAug 5, 2020

Earlier this week the CEO of four major tech companies (@facebook, @google, @amazon, and @apple) were witnesses in the US investigation that is assessing if their companies have been involved in practices that prevent others from competing against them. The case is not unprecedented, @microsoft also faced an antitrust lawsuit back in 2001 that resulted, among others, in the company having to share its API with third-party companies to allow competitors within the Windows environment. We admit though that seeing @zuck, @sundarpichai, @jeffbezos and Tim Cook in the same court testifying was a pretty impactul image.
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Although a lot was said and brought up, the mainline of questioning went in this way for each one of the companies:
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Facebook: mostly accused of having a pattern of acquiring small competitors before they have a chance to blossom in the market, or going into “destroy mode” towards them if they refuse.
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Google: being able to control the whole ad bidding market, setting low prices for advertisement (making it infeasible for competitors to match the price), and selling this data at a high price (as no other company can accumulate that much).
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Apple: using the App Store to deliberately choose which apps are able to compete with them, as well as being able to copy other developers' apps and functionalities while the developers themselves are banned if they do so.
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Amazon: analyzing the data of third-party sellers in their platform to gain knowledge of the market and being able to squash such sellers later on by selling their own version of the products at a way lower price.
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It’s important to note that the court has stated that the problem is not how big these companies have gotten, but the fact that they are using their size and power to prevent other companies from getting as big. During the next fall, some solutions will be proposed to address the problems. These could include things like new regulations in the sector and the forced split of the companies into smaller ones.
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What do you think? Is it time that regulations make it easier for new companies to thrive?

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