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Why in the US they are investigating the work of large IT companies

Regulators are looking for violations of antitrust laws. We find out what prerequisites this situation has and what opinion is formed in the community in response to what is happening.





Photos - Sebastian Pichler - Unsplash



From the point of view of the US authorities, Facebook, Google and Amazon can be called monopolists to one degree or another. This is a social network where all friends sit. An online store where you can order any goods. And a search service with answers to all questions. However, these companies have long avoided major litigation in this regard. In general, there are currently no significant mechanisms that would restrict deals like buying Instagram or WhatsApp.

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But the attitude towards the technology business is beginning to change. US regulators and government organizations are increasingly tightening their screws against large IT companies.



What's happening



Earlier this week, authorities announced an antitrust investigation into the activities of Facebook, Apple, Google and Amazon. According to attorney general William Barr, the task of regulators is to find out if IT companies are abusing their dominant position in the market. The trial will be conducted by the Federal Trade Commission (FTC) and the US Department of Justice, and the FTC has already formed a team of experts to monitor the activities of technology companies.



The work of this working group is already visible. At the beginning of the week, the FTC ordered Facebook to pay $ 5 billion for violations related to personal data leaks. In addition, the social network will have to create an independent committee that will address privacy issues without the participation of Mark Zuckerberg.


In addition to the Ministry of Justice and the FTC, a commission of the US House of Representatives began its investigation into IT companies. In mid-July, corporate executives testified in the Congress building as part of a program to "destroy the Silicon Valley monopoly."



What are the opinions



Regulatory initiatives are supported by lawmakers. Senator Lindsey Graham said the technology business has too much power and capabilities that no one limits. He was supported by Democrat Richard Blumenthal. He, in turn, demanded that decisive measures be taken against IT corporations at the federal level.



As one of these measures, some politicians suggest obliging Facebook to separate the management of services like Instagram and WhatsApp at the legal level. This idea is supported even by co-founder of the social network Chris Hughes (Chris Hughes). In his opinion, the company has at its disposal too large data sets. It is impossible to manage them centrally while providing a high level of protection.



Mark Zuckerberg replied to this statement that separation would not help solve these problems. Facebook's Gigantism, on the other hand, helps the company invest large sums of money in data security. In general, this view is shared by representatives of Google, Apple and Amazon. They note that companies have earned their place at the top of the technology pyramid and are doing everything possible to stay there.





Photo - Maarten van den Heuvel - Unsplash



Despite the rather extensive support of the initiatives of the Trade Commission and the Ministry of Justice, there is an opinion in the society that the new proceedings will end in nothing. In 2013, a similar case was launched against Google, but the company did not suffer punishment. This time, the situation may take a different path - as an argument, the experts cite the already mentioned fine, issued by the FTC team, which became the largest bureau in history.



What to expect



New initiatives to weaken the influence of IT companies appear in Europe. So, in April this year, the European Commission announced its intention to work out stricter rules for large IT companies in order to stimulate competition in the market.



At the beginning of the year, the German Federal Antimonopoly Service banned Facebook from combining personal data collected in various applications into a single pool without the consent of users. According to the regulator, this will improve the safety of PD. The European Commission plans to carry out similar measures in relation to Amazon and Apple.



It is difficult to say where the results of such actions in the USA and Europe will lead. But they are unlikely to be introduced all at once - previous cases regarding Google have been considered for several years. Therefore, these proceedings have yet to be observed.






In a blog on the website ITGLOBAL.COM :



Source: https://habr.com/ru/post/461501/



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