Google and Apple

Google, Apple Breakups on the Agenda as Global Regulators Target Tech

The tech industry faces a seismic shift as antitrust regulators on both sides of the Atlantic intensify scrutiny on alleged anti-competitive practices, with potential break-up orders looming for industry giants like Apple and Google, marking a historic first.

The regulatory crackdown follows a wave of antitrust probes in various countries spurred by EU and U.S. investigations. Not since AT&T’s breakup four decades ago has a company faced such a prospect in the United States.

Amidst accusations from regulators, both Google and Apple have vehemently denied wrongdoing. However, the U.S. Department of Justice, in collaboration with 15 states, recently warned Apple of potential break-up measures in response to monopolistic allegations.

Across the Atlantic, European regulators are also tightening the noose, with scrutiny under the Digital Markets Act (DMA) looming for Apple, Meta Platforms, and Alphabet. EU antitrust chief Margrethe Vestager has hinted at potential divestitures to address anti-competitive concerns in Google’s adtech business.

However, analysts caution that implementing break-up orders may face legal hurdles and complexity, particularly for Apple’s integrated ecosystem. Instead, behavioral remedies could be explored, such as ensuring fair developer treatment and market access.

While the path forward remains uncertain, regulators signal a determination to hold tech giants accountable, setting the stage for a potential reshaping of the industry landscape in the years ahead.

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