Posted By The Hill
Digital disruption demands antitrust restraint
By Jonathan Barnett
Since Nov. 20, the date on which the Department of Justice Antitrust Division launched its challenge to the AT&T-Time Warner merger, through June 27, the date on which the division announced its conditional approval of the Disney-Fox merger, the media and entertainment marketplace has been peering deep into the legal crystal ball to anticipate the antitrust fortunes of these two landmark transactions.
For those who reflexively follow the “big is bad” principle, the Antitrust Division’s aggressive challenge to the AT&T-Time Warner combination was a welcome surprise while its failure to challenge the Disney-Fox combination in its entirety was a predictable disappointment.
Yet, courts demand persuasive evidence that a combination will likely result in net harm to consumers — an economic translation of the statute’s prohibition of only combinations where “the effect … may be substantially to lessen competition.”
Absent this evidentiary safeguard, dealmakers could not assess regulatory risk and firms would shy away from acquisitions that can enhance shareholder value and benefit consumers.
Featured News
Polish Regulators Probe PS Store and Steam for Antitrust Violations
May 15, 2024 by
CPI
French Regulator Meat-Cutting Sector Case Following Antitrust Review
May 15, 2024 by
CPI
Arizona Attorney General Files Suit Against Amazon Over Unfair Business Practices
May 15, 2024 by
CPI
Varsity Spirit and Private Equity Owners Settle Class Action Antitrust Suit
May 15, 2024 by
CPI
US Senators Present AI Strategy, Call for Funding Surge
May 15, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Ecosystems
May 9, 2024 by
CPI
Mapping Antitrust onto Digital Ecosystems
May 9, 2024 by
CPI
Ecosystems and Competition Law: A Law and Political Economy Approach
May 9, 2024 by
CPI
Ecosystem Theories of Harm: What is Beyond the Buzzword?
May 9, 2024 by
CPI
Open Ecosystems: Benefits, Challenges, and Implications for Antitrust
May 9, 2024 by
CPI