House Overrides Big Tech To Pass Antimonopoly Legislation
On Thursday, the House of Representatives passed bipartisan antitrust legislation to give state and federal regulators more power to handle antitrust cases despite opposition from big tech companies like Google and Amazon.
The bills now heading to the Senate would provide the Justice Department's antitrust division with additional funding, strengthen the position of state attorneys general in filing lawsuits against big tech companies, and force M&A companies to forgo any ties. identify American opponents.
Supporters of the Merger Fee Modernization Act saw the bill as a much-needed boost for underfunded antitrust regulators.
Rep. Ken Buck (R-Calo.), sponsor of the bill, called his move "a big win to restore competition"!
The bill was passed by the House of Representatives despite opposition from major technology groups, including the US Chamber of Commerce, which said the bill would "interfere with legitimate business transactions across all sectors and industries, create unnecessary bureaucracy, and lead to unfounded lawsuits."
Democrats voted 203 to 16 in favor of the bill, while the measure was supported by 39 Republicans and 168 against.
The Republican opposition was led by powerful Ohio Representative Jim Jordan, who criticized the bill for giving more money to the corrupt Justice Department.
"This bill will effectively give the Justice Department $140 million to move forward and continue what they're already doing: work with big tech to keep some information out of our hands," Jordan said ahead of Thursday's vote.
Democrats who opposed the bill include Rep. Zoe Lofgren, who represents the California district that includes Silicon Valley.
The bill would raise funds for the Justice Department's antitrust division, run by tech hawk Jonathan Kanter, by increasing the fees large corporations must pay when they get government approval for mergers and acquisitions. Companies wishing to make smaller mergers will pay lower fees.
It will also allow state attorneys general to choose where to conduct antitrust proceedings. Proponents say it will reduce the ability of tech companies to get claims heard by pro-tech judges.
For example, if the law had been in place, Texas Attorney General Ken Paxton's antitrust lawsuit against Google likely wouldn't have moved to New York, where it would be heard by a judge who some lawyers say is too Google-friendly. Instead, Paxton could leave the case in Texas.
In addition, the bill requires merging companies to notify regulators if they receive subsidies from U.S. competitors, including China and Russia.
In the Senate, the bill is supported by many Democrats, as well as Republicans Chuck Grassley of Iowa, Mike Lee of Utah and Tom Cotton of Arkansas. The White House and the conservative Heritage Foundation also supported the bill.
The Senate has previously passed a bill that would allow attorneys general to choose where antitrust suits will be heard, but has not passed legislation on merger filing fees.
“The approval of the merger reform package is an important first step in limiting Big Tech’s ability to devour competitors at will, collude and ultimately raise prices, limiting consumer choice,” said Sasha Haworth, chief executive of the advocacy group. Technical Supervision. Project.
