Posts tagged July 2019
Open Markets Coalition Letter to the U.S. Department of Justice to Block McGraw-Hill/Cengage Merger

The Open Markets Institute led a coalition of public interest groups and academics in demanding the Department of Justice block the proposed merger of Cengage and McGraw-Hill. If approved, the merger would create the second-largest U.S. provider of textbooks and higher-education materials after Pearson, with $3.16 billion in annual revenue.

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Fast Company: This senator was Big Tech’s friend—but is now its greatest threat

Fast Company reporter Ainsley Harris tells the story of Senator Mark Warner, a former telecom investor and entrepreneur, sounding the alarm on China’s advancement—and Big Tech’s misconduct. She speaks with Open Markets Senior Fellow Matt Stoller as part of the feature, describing Stoller as "another voice agitating for policy makers to address Silicon Valley’s 'concentrations of capital' and perverse incentives."

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The Corner Newsletter, July 26, 2019

Welcome to The Corner. In this issue, we highlight a powerful dissent in the Federal Trade Commission’s settlement with Facebook, discuss why the Trump Administration’s new hospital pricing rule won’t fix American healthcare, and identify three key takeaways from last week's House subcommittee hearing on Amazon, Apple, Facebook, and Google.

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POLITICO: 'It will be fascinating': Silicon Valley faces an antitrust reckoning

POLITICO's Steve Overly writes about Silicon Valley's antitrust troubles in Washington and the confluence of probes America's biggest tech companies are facing. He reports that enforcers "have met with Barry Lynn, executive director of the Open Markets Institute." He also interviews Lynn who argues that strong antitrust action can alter the digital business models that have given rise to issues like disinformation.

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AP Explains: What T-Mobile takeover of Sprint means for you

Open Markets Executive Director Barry Lynn is cited by AP reporters Mae Anderson and Tali Arbel about the implications of the T-Mobile/Sprint merger. “Americans across the country will likely pay higher prices for worse service in a wireless market dominated by AT&T, Verizon, and T-Mobile,” said Lynn. “The problem is especially bad for poor and rural customers.”

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Facebook needs more than a $5 billion fine. It needs a new business model

Open Markets Director of Enforcement Strategy Sally Hubbard published an op-ed on CNN Business on the Federal Trade Commission’s $5 billion settlement with Facebook and asserts that the company needs a new business model. “Instead of fines, changing destructive business models and anticompetitive practices is the only way to lessen the platforms’ harms,” Hubbard writes. “These fixes fall into four main buckets, spelling out the acronym PAIN: privacy, antitrust, interoperability, and non-discrimination.”

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After the FTC Fails to Fix Facebook, Commissioner Chopra’s Powerful Dissent Points to a Path Forward

Enforcers and policymakers should pay particular attention to FTC Commissioner Rohit Chopra’s powerful dissenting statement. Chopra condemned the Facebook settlement, writing, “This framework does not protect the public — it protects Facebook” and “ratifies Facebook’s governance structure instead of changing it.”

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New York Times: Inside Chris Hughes’s campaign to break up Facebook, the tech ‘monopoly’ he helped create

Reporters Elizabeth Dwoskin and Tony Romm report on former Facebook co-founder Chris Hughes' campaign to break up Facebook. Hughes has "become one of the company’s biggest problems," they report. They also wrote that lawmakers and regulators have also held meetings with other antitrust experts, according to those leaders, such as Barry Lynn from the Open Markets Institute.

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PBS Newshour: FTC fines Facebook $5 billion for privacy violations, adds oversight

PBS Newshour speaks to Open Markets Senior Fellow Matthew Stoller about the Federal Trade Commission's $5 billion settlement with Facebook. “There should be structural solutions to force competition into the social networking market,” Stoller said. “One of the angles for competition is privacy. They will compete to make a safer space to retain their user base.”

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Yahoo! Finance: Ex-antitrust prosecutor on Amazon: 'There is plenty there for enforcers to go after'

Yahoo Finance Associate Editor Katie Krzaczek reports on an interview of Open Markets Director of Enforcement Strategy Sally Hubbard by Yahoo Finance's YFI AM on the recent news that the Department of Justice is launching an antitrust review of big tech. Hubbard told Yahoo Finance’s YFI AM that “there is plenty there for enforcers to go after,” especially in its retail practices.

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