Capital Confusion at the New York Times
In a recent guest essay for The New York Times, Aaron Klein of the Brookings Institution claims that the merger between Capital One and Discover would “keep intact the broken and predatory system in which credit card companies profit handsomely by rewarding our richest Americans and advantaging the biggest corporations.” That’s quite an indictment! Fortunately, Klein also ... Capital Confusion at the New York Times
US v. Apple Lawsuit Has Big Implications for Competition and Innovation
The lawsuit filed yesterday by the U.S. Justice Department (DOJ) against Apple for monopolization of the U.S. smartphone market (joined by 15 states and the District of Columbia) has big implications for American competition and innovation. At the heart of the complaint is the DOJ’s assertion that: [Apple’s] anticompetitive acts include, but are not limited ... US v. Apple Lawsuit Has Big Implications for Competition and Innovation
Murthy Oral Arguments: Standing, Coercion, and the Difficulty of Stopping Backdoor Government Censorship
With Monday’s oral arguments in Murthy v. Missouri, we now have more of a feel for how the U.S. Supreme Court appears to be considering the issues of social-media censorship—in this case, done allegedly at the behest of federal officials. In the International Center for Law & Economics’ (ICLE) amicus brief in the case, we ... Murthy Oral Arguments: Standing, Coercion, and the Difficulty of Stopping Backdoor Government Censorship
Systemic Risk and Copyright in the EU AI Act
The European Parliament’s approval last week of the AI Act marked a significant milestone in the regulation of artificial intelligence. While the law’s final text is less alarming than what was initially proposed, it nonetheless still includes some ambiguities that could be exploited by regulators in ways that would hinder innovation in the EU. Among ... Systemic Risk and Copyright in the EU AI Act
Mi Mercado Es Su Mercado: The Flawed Competition Analysis of Mexico’s COFECE
Mexico’s Federal Economic Competition Commission (COFECE, after its Spanish acronym) has published the preliminary report it prepared following its investigation of competition in the retail electronic-commerce market (e.g., Amazon). The report finds that: there are elements to preliminarily determine that there are no conditions of effective competition in the Relevant Market of Sellers and in ... Mi Mercado Es Su Mercado: The Flawed Competition Analysis of Mexico’s COFECE
The Broken Promises of Europe’s Digital Regulation
If you live in Europe, you may have noticed issues with some familiar online services. From consent forms to reduced functionality and new fees, there is a sense that platforms like Amazon, Google, Meta, and Apple are changing the way they do business. Many of these changes are the result of a new European regulation ... The Broken Promises of Europe’s Digital Regulation
A Closer Look at Spotify’s Claims About Apple’s App-Store Practices
Following Monday’s announcement by the European Commission that it was handing down a €1.8 billion fine against Apple, Spotify—the Swedish music-streaming service that a decade ago lodged the initial private complaint that spawned the Commission’s investigation—published a short explainer on its website titled “Fast Five Facts: Facts that Show Apple Doesn’t Play Fair.” The gist ... A Closer Look at Spotify’s Claims About Apple’s App-Store Practices
The Law & Economics of the Capital One-Discover Merger
Capital One Financial announced plans late last month to acquire Discover Financial Services in a $35.3 billion deal that would give Capital One its own credit-card payment network, while simultaneously allowing the company to expand its deposit base, credit-card offerings, and rewards programs. Conversely, credit analysts like Matt Schulz of LendingTree note that “if Capital ... The Law & Economics of the Capital One-Discover Merger
The DMA’s Missing Presumption of Innocence
The EU’s Digital Markets Act (DMA) will come into effect March 7, forcing a handful of digital platforms to change their market conduct in some unprecedented ways. The law effectively judges them guilty (with a very limited, formalistic trial), and brands them “gatekeepers” based purely on size. It then sentences them to far-reaching, one-size-fits-all antitrust-style ... The DMA’s Missing Presumption of Innocence
Apple Fined at the 11th Hour Before the DMA Enters into Force
Just days before the EU’s Digital Markets Act (DMA) was set to enter into force, the European Commission hit Apple—one of the six designated “gatekeepers” to which the new law will apply—with a hefty €1.8 billion fine for the kinds of anti-steering provisions that will be banned by the DMA, which enters into force on ... Apple Fined at the 11th Hour Before the DMA Enters into Force
Will the FTC Scupper the Kroger/Albersons Merger?
The press is abuzz with news about the Federal Trade Commission’s (FTC) Feb. 26 announcement that it would challenge the proposed Kroger/Albertsons mega-supermarket merger, which had been in the works since the fall of 2022. If the FTC succeeds in obtaining a temporary restraining order and preliminary injunction in Oregon federal district court (a big ... Will the FTC Scupper the Kroger/Albersons Merger?
NetChoice, the Supreme Court, and the State Action Doctrine
George Orwell’s “Nineteen Eighty-Four” is frequently invoked when political actors use language to obfuscate what they are doing. Ambiguity in language can allow both sides to appeal to the same words, like “the First Amendment” or “freedom of speech.” In a sense, the arguments over online speech currently before the U.S. Supreme Court really amount ... NetChoice, the Supreme Court, and the State Action Doctrine
