Former U.S. President Donald Trump, likely to reassess the aggressive antitrust policies of the Biden administration, could alter the direction of high-profile cases targeting Big Tech, including the potential breakup of Google, legal experts predict. While Trump is expected to continue several ongoing antitrust cases initiated during his first term, his recent remarks suggest a preference for reforms over dismantling dominant corporations.
During an October event in Chicago, Trump expressed skepticism about the idea of breaking up Google, the flagship subsidiary of Alphabet. “If you do that, are you going to destroy the company? What you can do without breaking it up is make sure it’s more fair,” he stated.
The Department of Justice (DOJ) currently has two active antitrust cases against Google: one focusing on its search engine dominance and the other on advertising technology. Remedies under consideration include forcing Google to divest key components like the Chrome web browser and discontinuing agreements that make Google the default search engine on devices such as Apple's iPhones. However, the trial on these remedies is set for April 2025, with final rulings expected later that year. Experts believe Trump’s administration could influence the scope of these remedies.
William Kovacic, a former chair of the Federal Trade Commission (FTC), noted that Trump would have significant control over the DOJ’s approach to these cases. “He is certainly in the position to control the remedies phase and redefine priorities,” Kovacic said.
Additionally, attorneys suggest Trump may ease policies that frustrated businesses during Biden’s tenure, such as the administration’s resistance to settlements in merger cases. Historically, settlements allowed companies to address antitrust concerns through compromises like divesting specific assets.
Jon Dubrow, a partner at McDermott Will & Emery, believes Trump could also revise the FTC and DOJ’s 2023 merger guidelines, which were viewed as hostile to corporate mergers and acquisitions. Business leaders hope for a return to a more collaborative approach to regulation under Trump.
Another policy facing uncertainty is the FTC’s ban on most noncompete clauses in employment contracts. With an estimated 30 million U.S. workers affected by such clauses, a Trump administration could reassess or decline to defend the rule in court, where it currently faces challenges.
Although Trump is expected to temper some of the Biden administration’s more aggressive antitrust measures, he is unlikely to curtail enforcement entirely. Analysts point out that Trump’s first term saw a similar volume of merger cases as Biden’s early years, indicating a consistent baseline of oversight.
The scope of these potential changes, however, depends on Trump successfully appointing Republican-aligned commissioners to the FTC, which would shift its bipartisan makeup.
blogpay
Total Comments: 0