The U.S. Justice Department said on Tuesday it was opening a broad investigation of major digital-technology firms into whether they engage in anti-competitive practices, the strongest sign the Trump administration is stepping up its scrutiny of Big Tech.
Google and Apple declined to comment, referring to prior statements by executives, while Facebook and Amazon did not immediately comment. Senator Richard Blumenthal, a Democrat, said the Justice Department “must now be bold and fearless in stopping Big Tech’s misuse of its monopolistic power. Too long absent and apathetic, enforcers now must prevent privacy abuse, anti-competitive tactics, innovation roadblocks and other hallmarks of excessive market power.”
Reuters reported on May 31 that the Justice Department was preparing an investigation of Google to determine whether the tech giant broke antitrust law. Congress held a series of hearings last year looking at the dominance of major tech companies and their role in displacing or swallowing up existing businesses. It is rare for the government to seek to undo a consummated deal. The most famous case in recent memory is the government’s effort to break up Microsoft Corp. The Justice Department won a preliminary victory in 2000, but was reversed on appeal. The case settled with Microsoft intact.
Tech companies face a backlash in the United States and across the world, fuelled by concerns among competitors, lawmakers and consumer groups that they have too much power and are harming users and business rivals.
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