Some lawmakers has put forward a sweeping legislative package that could curb the market power of Big Tech companies and force Facebook, Google, Amazon or Apple to sever their dominant platforms from their other lines of business.
The bill concluded that the four tech giants have abused their market power by charging excessive fees, imposing tough contract terms and extracting valuable data from individuals and businesses that rely on them.
President Joe Biden has said disbanding big tech companies should be considered, although he has not spoken on the issue as president. If such measures were mandatory, they could bring the biggest changes to the industry since the federal government benchmark case against Microsoft almost 20 years ago.
- The proposals would prohibit big tech companies from favouring their own products and services over competitors on their platforms.
- The proposed legislation also would make it more difficult for the giant tech companies to snap up competitors in mergers, which they have completed by scores in recent years.
- The four companies have rejected lawmakers” accusations of abusing their dominant market position and have asserted that improper intervention in the market through legislation would hurt small businesses and consumers.
These proposed regulations represent a shift from the market-oriented principles that have characterized US economic policy.