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Biden signs an order to crack down on Big Tech and boost competition “totally” – News


CNBC’s Iran Mui reported that the White House on Friday announced a new executive order aimed at cracking down on anti-competitive practices in Big Tech, labor and many other sectors.

A drastic order, including 72 actions and recommendations involving more than a dozen federal agencies, aims to reshape the mindset on corporate integration and antitrust law, Mui said on CNBC’s “Squawk Box.” Reported on.

According to the White House fact sheet on orders announced Friday morning, these goals and initiatives include:

  • Lower prescription drug prices by supporting state and tribal efforts to import cheaper drugs from Canada
  • Make hearing aids available for sale in stores
  • Encourage the Federal Trade Commission to “challenge the previous bad merger” slid by the previous administration
  • To the Federal Communications CommissionNet neutrality“Rules revoked during the Trump administration
  • Ask the FCC to block exclusive transactions between landlords and broadband providers
  • Establish a “White House Competition Council” to lead the federal government’s response to the growing economic power of large corporations

“The urge for this executive order is around where we can totally intensify competition,” White House Chief Economic Advisor Brian Deese said in an exclusive interview.

President Joe Biden According to his schedule, he is set to sign an executive order at the White House at 1:30 pm Eastern Standard Time.

Biden’s order aims to argue through technology-related actions that the largest companies in the sector are using their power to eliminate small competitors and misuse consumer personal information. Said Mr. Mui.

According to Mui, the order will reform regulators by increasing scrutiny of technology mergers and focusing on moves such as “killer acquisitions” where companies buy smaller brands and remove them from the market. Request to be implemented.

The tech giant’s tense grip has led to a decline in innovation, Dís told Mui.

These platforms “caused serious problems,” Deeds said. This includes “user issues regarding privacy and security” and “small business issues regarding market entry”.

The executive order is “not just a monopoly,” Dies said. “But it’s about more general integration and lack of competition in the presence of limited market players,” Deeds said.

He said some studies suggest lower wages in a more concentrated market dominated by only a handful of businesses. The White House fact sheet is May 2020 treatise From the Journal of Human Resources, we used data from CareerBuilder.com to discover that market consolidation suggests a double-digit decline in wages.

The order will be announced just weeks after the House Judiciary Committee Voted to advance six antitrust bills aimed at boosting competition in the tech sector..

Bills that make it difficult for dominant companies to complete mergers and outlaw certain general business models of such companies are said to have underdeveloped or unintended side effects. We are facing serious bipartisan backlash from concerns.

Judge in late June Discarded complaints from the Federal Trade Commission and a group of state attorney generals Facebook claims to maintain its monopoly illegally.

Biden’s executive order also requires the FTC to develop new rules on Big Tech’s data collection and user monitoring practices, and urges authorities to ban certain unfair competition methods in the Internet market. Mui reported.

This order may provide some relief for small businesses that are dissatisfied with the crippled grip of tech companies, such as: Amazon, Apple, Facebook And Google In the digital market.

Biden’s executive order does not unilaterally impose a will on big tech companies, but instead calls for action by an independent FTC.

But at the age of 32, Biden’s new FTC chair, Lina Khan, became the youngest person in history to play that role. When she swore last monthHas already established a reputation as a voice advocate for reforming and tightening regulation of tech giants.

Amazon Demands Kahn to be rejected from ongoing investigations of the businessShe claimed to be unfair and accused the company of repeatedly saying, “It is a crime of antitrust violation and should be dissolved.”

This story is developing. Check for updates.

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See: How US Antitrust Law Works and What It Means For Big Tech

Biden signs an order to crack down on Big Tech and boost competition “totally”

Source link Biden signs an order to crack down on Big Tech and boost competition “totally”

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