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A proposal to get ahead of big tech companies like Amazon, Apple, Google and Facebook Gained bipartisan support by acquiring rivals Senate.
You s. Tom Cotton, Arkansas Republican and Amy Klobuchar, Minnesota Democrat introduced the Platform Competition and Opportunity Act to create a presumption against mergers and acquisitions by large tech companies.
According to Mr. Cotton’s office, the bill requires some tech companies to show that any acquisitions over $50 million are not helping them maintain their dominant position in the market.
“Under this bill, the largest tech monopolies will have the burden of proving that buying more is legal and good for the American public,” Mr Cotton said in a statement.
Similar laws were developed this year through the House Judiciary Committee, and Mr. Cotton and Ms. Klobuchar they are trying to gain momentum Senate bids were submitted at the end of last week.
According to Mr. Cotton’s office, Senate The bill differs from the House proposal by narrowing the scope of affected technology firms and limiting the Federal Trade Commission’s discretion in enforcing the law.
Targeted tech companies Senate The legislation must meet a number of criteria, including that they have 50 million monthly active users or 100,000 monthly active business users based in the US and have a market capitalization of $600 billion.
Mr. Cotton’s office said The proposal aims to avoid trapping growing tech companies by applying standards of practice to firms that meet the criteria within 30 days of the law’s enactment.
law draft published He states that targeted tech firms will have 30 days to petition for a review of a determination that they meet the bill’s criteria, Mr.
Opponents of the law say the bill chooses winners and losers. Robby Soave, senior editor of the libertarian publication Reason, called the law’s targeting of tech firms with a market capitalization of $600 billion “a hideously crooked provision.”
“The two companies currently under the $600 billion mark and thus exempt from the bill are mega-retailers. Aim and Walmart,” Mr. Soave wrote Monday. “Both of these companies are worth hundreds of billions of dollars and their e-commerce platforms are growing faster than before. Amazon‘NS. But according to the Klobuchar/Cotton law, Aim and overtake Walmart Amazon — they will be exempt from this new antitrust act as long as they are small enough on the day the bill is signed.”
Aim center Ms. Klobucharits home state is Minnesota and Walmart is headquartered in Mr. Cotton’s hometown, Arkansas.
The legislation has prominent supporters left and right, from the liberal Open Markets Institute to the conservative Internet Accountability Project.
NS Senate The proposal also received praise from members of the House Judiciary Committee responsible for helping develop similar legislation, including Representatives David Cicilline, Rhode Island Democrat, and Ken Buck, Colorado Republican.
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