DOJ’s Jonathan Kanter says the antitrust fight against Big Tech is just beginning

Digital Markets Act

The Digital Markets Act (DMA) in Europe is a significant regulatory tool aimed at curbing the power of tech giants like Apple by classifying them as gatekeepers. Nilay Patel and Jonathan Kanter discuss how this act forces companies to open their platforms to competition, although some, like Apple, engage in what is termed "malicious compliance," making it difficult for competitors to thrive 1. Kanter notes that observing how companies comply with the DMA provides valuable insights into potential regulatory strategies in the U.S. 1.

We're watching with great interest to see how companies comply or not comply with the DMA and how they do that teaches us a lot.

--- Jonathan Kanter

Despite Europe's aggressive interventions, such as browser ballots on Android phones, many users still prefer Google over alternatives like Bing, highlighting the challenges of enforcing such regulations effectively 2.

   

Comparative Analysis

The U.S. and Europe have distinct approaches to antitrust enforcement, with Europe often leading in aggressive regulatory measures. Jonathan Kanter explains that while Europe imposes strict standards, such as in the Adobe-Figma deal, the U.S. relies on a competitive market to drive innovation without dictating business operations 2. This difference is evident in how each region handles tech giants, with the U.S. focusing on preserving competition rather than prescribing outcomes 2.

We're not going to prescribe outcomes. We're not going to pick winners and losers.

--- Jonathan Kanter

Kanter emphasizes the importance of enforcing laws against monopolies to ensure a competitive market where companies can thrive without needing to merge with competitors 3.

   

Regulatory Lessons

Lessons from European regulations like the DMA offer valuable insights for U.S. antitrust strategies. Jonathan Kanter highlights how observing European compliance can inform U.S. remedies and reveal what companies might do to hinder competition 1. This understanding is crucial as the U.S. seeks to adapt its antitrust enforcement to modern challenges.

It teaches us a lot about what's possible, what's not possible.

--- Jonathan Kanter

Kanter also discusses the concept of monopsony, where tech giants become powerful buyers, distorting markets. He points out that the DOJ's antitrust division, despite being smaller than in 1979, is more accessible and effective in addressing these issues today 4.