logo
What to Know About Trump's Antitrust Efforts Against Tech Giants

What to Know About Trump's Antitrust Efforts Against Tech Giants

New York Times13-04-2025

The Trump administration isn't letting up on the tech giants.
On Monday, the Federal Trade Commission will face off with Meta in court over claims that the social media giant snuffed out nascent competitors when it bought Instagram and WhatsApp. And on April 21, the Justice Department will argue that a federal judge should force Google to sell its Chrome web browser to limit the power of its search monopoly.
Both cases, which helped set into motion a new era of antitrust scrutiny, were filed during President Trump's first term in office. They were advanced by the Biden administration, which also filed monopoly lawsuits against Amazon, Apple and Google's ad technology business.
Investors in Silicon Valley and on Wall Street hoped that Mr. Trump might show technology companies more deference during his second term, as he promised to deregulate industries. Some legal experts think the administration could still take a lighter hand on blocking mergers and setting proactive regulations for tech.
But so far, Mr. Trump's appointees have promised to continue much of the scrutiny of the biggest tech companies, despite the industry's hopes.
'I think that they may not have fully focused on how much the first Trump presidency had to do with setting in motion this re-examination of tech,' said Bill Kovacic, a former F.T.C. chairman.
Here's what to know.
Who is in charge of antitrust enforcement now?
Mr. Trump appointed Andrew Ferguson as chair of the F.T.C., which enforces antitrust and consumer protection laws. Mr. Ferguson, a lawyer who spent much of his career working for powerful Republican senators, has said he wants to increase scrutiny of the ways that social media companies decide to take posts down. Conservatives have complained for years that platforms like Facebook and YouTube disproportionately censor right-leaning viewpoints.
'I will throw every resource the agency has at prosecuting the cases against Big Tech that we've got going,' Mr. Ferguson said in an appearance on the Bloomberg podcast 'Odd Lots' this year.
The new leader of the Justice Department's antitrust division, Gail Slater, a veteran tech and media lawyer, worked in the White House during Mr. Trump's first term. She has also pledged to enforce antitrust laws aggressively.
'It's now a bipartisan issue, and there's a consensus around the need for robust antitrust enforcement,' Ms. Slater said at an event hosted this month by Y Combinator, the Silicon Valley start-up accelerator, which has pushed for more antitrust scrutiny of the tech giants.
Where do the major antitrust lawsuits against the tech giants stand?
Five government cases accuse tech companies of maintaining illegal monopolies, and all are moving through the courts. The companies deny the allegations.
What about tech industry mergers and acquisitions?
The Biden administration tried and failed to block numerous tech deals, including Meta's purchase of a small virtual reality start-up, Within. The push to stop acquisitions outraged investors who back small companies that want to cash out by being acquired by a tech giant.
Mr. Trump's appointees say they want to get out of the way of acquisitions that don't present a competitive problem. Ms. Slater has expressed an openness to companies' proposing settlements — such as selling off similar assets — which can help resolve concerns about deals.
In late January, the Justice Department sued to block the business software company Hewlett Packard Enterprise from buying Juniper Networks, a networking firm, for $14 billion. It was the first lawsuit to challenge a tech deal in Mr. Trump's second term.
During the first Trump administration, the Justice Department unsuccessfully challenged AT&T's purchase of Time Warner.
What does this mean for the artificial intelligence race?
Last year, the Justice Department and the F.T.C. agreed to divide up responsibility for investigating whether the biggest players in artificial intelligence were violating antitrust laws. The Justice Department started investigating Nvidia, while the F.T.C. took Microsoft and its partner, OpenAI.
It is unclear whether those investigations will result in lawsuits. The Trump administration has promised to clear the way for American companies to develop A.I., including rescinding a Biden-era executive order that put guardrails on the use of the technology.
The administration has solicited the industry's input on how best to move forward with policy around the technology, an opening that companies and investors took to lobby for fewer rules.
'I think it is extremely important that we protect competition in the A.I. space, but I think it is equally important that the government not race to regulate A.I.,' Mr. Ferguson said on Bloomberg TV in March.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

‘Golden Share' in U.S. Steel Gives Trump Extraordinary Control
‘Golden Share' in U.S. Steel Gives Trump Extraordinary Control

New York Times

time29 minutes ago

  • New York Times

‘Golden Share' in U.S. Steel Gives Trump Extraordinary Control

To save its takeover of U.S. Steel, Japan's Nippon Steel agreed to an unusual arrangement, granting the White House a 'golden share' that gives the government an extraordinary amount of influence over a U.S. company. New details of the agreement show that the structure would give President Trump and his successors a permanent stake in U.S. Steel, significant sway over its board and veto power over a wide array of company actions, an arrangement that could change the nature of foreign investment in the United States. The terms of the arrangement were hammered out in meetings that went late into the night on Wednesday and Thursday, according to two people familiar with the details. Representatives from Nippon Steel — which had been trying to acquire the struggling U.S. Steel since December 2023, but had been blocked by the Biden administration over national security concerns — came around to Mr. Trump's desire to take a stake that would give the U.S. government significant control over the company's actions. Nippon had argued that this influence should expire — perhaps after three or four years, the duration of the Trump administration. But in the meetings, which were held at the Commerce Department, Trump officials led by Commerce Secretary Howard Lutnick insisted that the golden share should last in perpetuity, the two people said. Under the terms of the national security pact, which the companies said they signed Friday, the U.S. government would retain a single share of preferred stock, called class G — as in gold. And U.S. Steel's charter will list nearly a dozen activities the company cannot undertake without the approval of the American president or someone he designates in his stead. Want all of The Times? Subscribe.

Trump has not called Walz following shooting of Minnesota lawmakers
Trump has not called Walz following shooting of Minnesota lawmakers

Axios

time42 minutes ago

  • Axios

Trump has not called Walz following shooting of Minnesota lawmakers

President Trump has not called Minnesota Gov. Tim Walz more than 24 hours after a prominent Minnesota state lawmaker and her husband were killed in what officials have described as a "politically motivated assassination." The big picture: Saturday's fatal shooting of Minnesota House Democratic Leader Melissa Hortman and her husband Mark Hortman has exacerbated bipartisan security concerns among elected officials amid a volatile political landscape. Minnesota state Sen. John Hoffman and his wife, Yvette Hoffman were injured in a separate shooting at their home on Saturday. What we're hearing: Walz spokesperson Teddy Tschann confirmed to Axios that the governor had not heard from the president directly as of early Sunday afternoon. Walz spoke to both Vice President Vance and former President Biden on Saturday, Tschann said. The White House did not immediately respond to Axios' request for comment. What he's saying: When asked by ABC News Sunday morning whether he planned to reach out to the Democratic governor, the president criticized Walz but left the door open to a conversation. "Well, it's a terrible thing. I think he's a terrible governor. I think he's a grossly incompetent person. But I may, I may call him, I may call other people too," he told ABC's Rachel Scott. On Saturday, Trump condemned the shooting as "horrific," saying such violence "will not be tolerated in the United States of America." Context: Law enforcement say 57-year-old Vance Boelter posed as a police officer when he killed Hortman and her husband in their suburban Twin Cities home early Saturday. Boelter is also wanted in connection with a separate shooting that wounded Hoffman and his wife. He remained on the run as of midday Sunday. Investigators recovered a manifesto featuring a target list that included the names of Democratic lawmakers and prominent individuals who support abortion rights in Minnesota. Zoom out: While Trump has not reached out personally, the state is receiving assistance and support from the administration. The FBI, which is on the ground in Minnesota, has offered a $50,000 reward for information leading to Boelter's capture and conviction. Attorney General Pam Bondi condemned the "horrific violence" in a post on X Saturday, pledging to prosecute "to the fullest extent of the law."

Starmer Confident Aukus Pact Will Proceed Despite Trump Review
Starmer Confident Aukus Pact Will Proceed Despite Trump Review

Bloomberg

time44 minutes ago

  • Bloomberg

Starmer Confident Aukus Pact Will Proceed Despite Trump Review

UK Prime Minister Keir Starmer said he has no doubts that the Aukus defense pact with the US and Australia will continue despite President Donald Trump's review of the initiative. The Pentagon last week launched a review of the Joe Biden-era deal to develop nuclear-powered submarines with Australia and the UK, as part of Trump's push for allies to take more responsibility for their own defense and ensure the US has enough warships of its own. The pact was signed in 2021 to counter China's military expansion in the Indo-Pacific region.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store