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Google’s India case and a return to consumer-focused antitrust

What happened Today, following a six year investigation into Google’s business practices in India, the Competition Commission of India (CCI) issued its ruling. Two things, in particular, are remarkable about the decision. First, while the CCI’s staff recommended a finding of liability on a litany of claims (the exact number is difficult to infer from ... Google’s India case and a return to consumer-focused antitrust

Comments on Updating the Merger Guidelines

Of course, the Merger Guidelines need to be updated.  Except for efficiencies, they haven’t been updated in 17 years.   Lawyers and economists with a regular antitrust practice may not require an update in light of their knowledge of the 2006 Commentary, speeches and agency experience.  But, the rest of the antitrust world does.  The most ... Comments on Updating the Merger Guidelines

Section 2 Symposium: Howard Marvel on Safe Harbors for Short Term Exclusive Dealing Contracts

Exclusive dealing prevents the bait-and-switch behavior by dealers who convert customers drawn by one brand to the products of its rivals. Despite the red flag of “exclusive” in its title, the practice is ordinarily uncontroversial, indeed innocuous. Automobile manufacturers often pay incentives to encourage dealers to deal exclusively in their vehicles. Business format franchising ensures ... Section 2 Symposium: Howard Marvel on Safe Harbors for Short Term Exclusive Dealing Contracts

A preliminary assessment of the relative antitrust risk of a Comcast vs Disney purchase of 21st Century Fox assets

As has been rumored in the press for a few weeks, today Comcast announced it is considering making a renewed bid for a large chunk of Twenty-First Century Fox’s (Fox) assets. Fox is in the process of a significant reorganization, entailing primarily the sale of its international and non-television assets. Fox itself will continue, but ... A preliminary assessment of the relative antitrust risk of a Comcast vs Disney purchase of 21st Century Fox assets

FTC v. Qualcomm: Innovation and Competition

Just days before leaving office, the outgoing Obama FTC left what should have been an unwelcome parting gift for the incoming Commission: an antitrust suit against Qualcomm. This week the FTC — under a new Chairman and with an entirely new set of Commissioners — finished unwrapping its present, and rested its case in the trial begun ... FTC v. Qualcomm: Innovation and Competition

Free Uber

From the NY Times: Uber, a company based in San Francisco, is introducing a smartphone app to New York that allows available taxi drivers and cab-seeking riders to find one another. The company said the service would begin operating on Wednesday in 105 cabs — a bit less than 1 percent of the city’s more ... Free Uber

For Scotch Whisky, Age Is Just A Number

For a potential entrepreneur, just how much time it will take to compete, and the barrier to entry that time represents, will vary greatly depending on the market he or she wishes to enter. A would-be competitor to the likes of Subway, for example, might not find the time needed to open a sandwich shop ... For Scotch Whisky, Age Is Just A Number

Steeling to Block a Merger

In an April 17 address to United Steelworkers in Pittsburgh, President Joe Biden vowed that his administration would “thwart the acquisition of U.S. Steel by a Japanese company,” Nippon Steel, telling the assembled union members that U.S. Steel “has been an iconic American company for more than a century and it should remain totally American.” ... Steeling to Block a Merger

Interest Rates and Antitrust

Today’s Israeli newspapers have an interesting story about a multibillion dollar antitrust suit that an Israeli manufacturing firm has brought against Israel’s three major banks. The complaint alleges that the banks price colluded on rates, charging identically in five distinct rate categories: a uniform prime rate always 1.5% above the central bank’s; a uniform risk ... Interest Rates and Antitrust

Waking up to Platform Regulation

Brrring! “Gee, this iPhone alarm is the worst—I should really change that sometime. Let’s see what’s in my calendar for today…” In accordance with new regulatory requirements, Apple is providing you with a choice of app stores. Please select an option from the menu below. Going forward, iOS applications will download via the selected store ... Waking up to Platform Regulation

It’s Not Time To Panic About Amazon’s Purchase of Whole Foods. Yet.

Even with these caveats, it’s still worth looking at the recent trends. Whole Foods’s sales since 2015 have been flat, with only low single-digit growth, according to data from Second Measure. This suggests Whole Foods is not yet getting a lift from the relationship. However, the percentage of Whole Foods’ new customers who are Prime Members increased post-merger, from 34 percent in June 2017 to 41 percent in June 2018. This suggests that Amazon’s platform is delivering customers to Whole Foods.

Searching for Antitrust Remedies, Part II

In the last post, I discussed possible characterizations of Google’s conduct for purposes of antitrust analysis.  A firm grasp of the economic implications of the different conceptualizations of Google’s conduct is a necessary – but not sufficient – precondition for appreciating the inconsistencies underlying the proposed remedies for Google’s alleged competitive harms.  In this post, ... Searching for Antitrust Remedies, Part II