US Justice starts investigation into market dominance of large tech companies

The US Department of Justice announces an investigation into the dominance of tech companies such as Amazon, Facebook and Google. The investigation should reveal how the platforms came to power and whether they broke any rules in doing so.

In the announcement of the investigation, the US Department does not name specific companies, but it does refer to online platforms that dominate the market in categories such as search, shopping and social media. It can be deduced from this that companies such as Google, Facebook and Amazon are coming under scrutiny. Other companies may also be investigated, such as Apple.

The Department’s antitrust division will investigate whether the companies, in gaining market dominance, have engaged in practices that have restricted competition, hindered innovation or otherwise harmed consumers.

The ministry says it is conducting the investigation in response to widespread concerns among consumers, entrepreneurs and businesses about issues such as search, online shopping and social media. The antitrust department also wants to gather information from the public for the investigation and is asking people who “understand competition in online platforms” to come forward.

The investigation is separate from an American investigation announced in June into the possible monopoly position of large tech companies. That investigation is being conducted by a committee and will mainly consist of hearings to obtain more details. At the time, there was also talk of an investigation by the Ministry of Justice; that has now become reality.