In the last few months, the U.S. federal government has brought two major antitrust cases: one to block Microsoft’s acquisition of game developer Activision, and another against Google aimed at forcing the company to divest some of its advertising businesses. Along with the Federal Trade Commission’s failed effort to stop Meta’s acquisition of a virtual reality startup, an earlier federal case against Google regarding search, multiple ongoing state-level cases against the company, and reports the FTC will soon bring an action against Amazon, it appears that hunting season for large technology companies is in full swing.
Microsoft, Google, and a New Era of Antitrust
How businesses can navigate the increasing uncertainty around where and how antitrust law is enforced.
February 17, 2023
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Summary.
The U.S. federal government has brought major antitrust cases against Microsoft and Google. Regulators likely don’t expect to win either case outright, but the government doesn’t need to win these cases for them to have an impact. For one, an aggressive litigation strategy can provide a potent disruption to companies deemed too powerful. But these cases also send a message to European regulators, who have stepped into a leading role on antitrust. To navigate increasing uncertainty around where and how antitrust law is enforced, companies need to understand the complex politics of competing efforts to craft a new paradigm for competition law, and have plans in place for threading the needle and getting deals done.